I confirm, the last bet earns 1:1 and bets overall earn far too little money to make tournaments worth it (slaughtering one medium-sized group of looters > any tournament that doesn't drop an overpriced item, and that at much smaller risk and time consumption, as it can be done through a quick auto-resolve).
Adding a passive tournament money reward and/or increasing the maximum bet limit would resolve this issue. Guaranteeing more expensive items as rewards would also be a solution.
The number of tournament rounds could be increased to provide a greater challenge.