TW is like “free stuff day” (for all). It’s seems like a rare generous idea from the devs, where so long as you participate - you will all receive nice things.
I think keeping the rewards high for both winner & loser has greater benefits for all players. Going a different route would probably just be discouraging for a large percentage of teams.
Yeah you’d all still get free stuff, but many might feel it’s not worth the time/effort if there was a stark contrast in loot.
The way it currently is, it’s worth the time to participate.