Yeah, I was thinking about something along those lines. The IC thread could be separated into "Days" of the tournament/gladiatorial games, where there's one or two matches between PCs, and then maybe one or two matches between a PC and some NPCs, and then after that, everybody gets to role-play with each other, talk about how much it had hurt when they got killed, all that stuff.
Also, on a side note, is there going to be a Character Sheet put up for this anytime soon so I can start working on my character?