I can’t understand the meaning of the contests. All the same, the winner is the one who got in the right direction of the price movement during the time. the drawdown is generally a problem. who thinks what about it? let’s discuss in place.
Hello there @tw1x 
welcome to our forum (and nice of you to start a discussion).
I’m a bit biased, of course, as I’m part of the moderation/admin team, but yes, some might win cuz they were in the right direction at the right time.
But saying that, even to pick the right direction at the right time takes some skill (and I guess a big dose of luck, in most cases).
Regarding the DD rule, yes, several traders see it as a “problem”. In reality is a “safety switch” to prevent gambling and to make sure every trader has the same conditions. Also to promote fairness with the contests.
Every contest is different (we also had contests with 100% DD - or no DD) and again, the idea is to “help” traders understand the pitfalls of online retail trading and make them aware that in this game without a solid MM plan, a winning trade can turn into a nightmare… just like real trading.
A while ago, our friend @eastwood started a topic on how “they win the contests” with great investigative work. Might be worth a quick visit. The topic is here: How They Win the Contests - Trading - (talktrading.io)
See you soon and many green pips 