Considering the situation, I can't help but think Lalo is the one with the biggest advantage. BK has more advantages in-game with more allies, and probably soon also more high lvl players on his side. He also has control over the Outlaws (although Arata is up to something extremely shady, he's getting info directly from the manager of the island so he's definitely plotting something. I also think he could be aware of Lalo's plan of invading the island), and seems to be aiming for Shoudo, which means he'll grief the high lvl players from Shoudo until Nobuko (or Souichi, if he doesn't predict the situation beforehand) has almost no players left, or they retreat into the castle like Neronero did. With this, I can see BK being in the superior position, having more high lvl players, control of the Outlaws, etc. The only thing he would be missing is a higher lvl than Nobuko (but there will probably will be a way around this), and although I don't think Souichi will let Shoudo be overtaken so easily, I think there's a good chance that BK will do so anyway. So things seem to be going in BK's favor, but that's only until Lalo's reinforcements arrive (which is why he thought that they should enjoy the game while they still can), at which point the game will be completely turned on its head. BK may still have a chance depending on the size of Lalo's army in comparison to the Outlaws' size (even so, it's debatable to what extent Arata really intends to let BK have control over them) but at this point it'll be a full out war, almost nothing to do with the game's mechanics. Kakerou, the Island, the Outlaws, and Ideal will all have battles, which will likely lead to a game to the death between BK and Lalo. So things will get extreme very soon. Also, Baku really is a complete gambling addict. The fact that he had a real attachment to Kyara (and Kaji for that matter) makes their "loss" have real weight, and thus betting on the things he gained through those "losses" (the throne) that much more exciting for him. Lalo either understands him well or completely misunderstands him, but considering how things are going, I'm thinking that he definitely sees through Baku to some extent.