You can easily earn more than 2,000 gold pieces for each victorious tournament - including the gold from bets and the value of other reward items. In addition, if you win the first place you will receive a valuable reward in the form of armor or a horse.
However, keep in mind that you will only get the gold if you win the whole tournament. In every round you take part in, you can bet gold on your success. In this guide on how to buy a workshop at Mount & Blade II Bannerlord, we explain how to buy your own shop which can be turned into a number of things like a blacksmith, brewery, wine press, there are lots of options if you have the money to back it up. When you enter the game, you will be assigned to a random team and receive random equipment. Buying your own store is an expensive task. The tournament is divided into four phases - in each phase the losers drop out of the tournament and the winners advance to the next phase. The tournaments are a bit more complex than arenas and offer better rewards.
If you want to take part in a tournament, you can visit the Go to the arena tab every time you visit the city - if the tournament is available, then you will see a Join the tournament option.
Join a friendly and knowledgeable forum community for all PC gamers. Tournaments appear from time to time in random cities. Join and gain access to exclusive in-game items, game keys, and some of the most sought after closed betas. Tournaments offer better prizes than arenas.