The spectating I wouldn't mind as I'm quite proud of my chocobo so far and the opportunity to show off would be great. As far as the betting goes, as someone previously mentioned, some countries actually have laws against that kind of thing even with imaginary money in an imaginary world. I don't know anything about npcs cheating though, I've never noticed it, the only thing I ever noticed was their caltrops hurt more than mine, but it's easy enough to stay out of.