Okay I haven't played the level yet but...
I would set the room to '_dojo' (sword only) and then make sword animations into like an uppercut type animation for a character wearing boxing gloves (don't actually give them a sword).
Also it would be cool to have a crowd in like a small stadium around the ring (see: the 'Gladiator' level).
Throw in a bunch of minotaurs! Maybe consider adding progressively more difficult rings/stadiums (with bigger crowds)
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