Secondly, unless there are monery awards for winning or something, is it really that big of a problem if people cheat? If you are playing against a stranger, is there a significant difference between playing against someone of the same skill level with cheats, and someone that is much better than you? With a good bracketing system, people who cheat will either end up against other people who cheat, or people who are good enough to play against cheaters. You could also do things like let player opt in to using anti-cheat software, and then only play against other players with anti-cheat software. Or even have arenas specifically for people who use cheating software, for people who think that makes the game more fun.
Spoken like someone who has never built anything of value in the world. Even Apple, who famously "hates advertising and adtech companies" makes ads to promote their products. Ads exist for a reason.
Your statement is no better than "if your company emits carbon, you need to close". Sounds nice. Doesn't work