Piokilek
I think the real goal was to win the tournament. Every competitor was there to win, but Xuefeng came out on top. If the winner had to kill everyone and be the last person alive, they wouldnt have provided the tokens. Letting some choose life is better for balance from societal opinions, which means he is more likely to have support from the masses when needed.
It's funny how easy it is to predict some comments after the mc said he doesn't want to kill everyone. Yes, sure, he should kill everybody who threatens his family, especially because they will come back if you show mercy to them. But firstly in this case it was a fcking tournament and most probably not everybody has bad blood with xuefeng, but just follows orders or wants to win for the price. Secondly, if he kills everybody who said a bad word to him, it will become a chain of death. Xuefeng kills someone who flirted with one of his wifes, after that his brother comes to take revenge and gets killed, after that his master and bla bla bla... Even if he is strong enough to kill them all, after killing thousands of people he will earn fear not honor. And Xuefeng was/is always an emotional character, who doesn't fear to kill for his family but still isn't a mindless lunatic...