I know some of PVP games back then like coinbrawl although I treat more as faucet because of micro earnings. I just don't know if it's still running today and paying. There also plans, proposals and project development by some of the gambling freaks although most of them stopped maybe for various reasons.
The problem on PVP systems if applied to gambling is the legitimacy of it. It's kinda difficult to know if we are really battling or competing against real humans. That is also the main problem why we can't see crypto gambling games like chess even we see demand and request for this.