I’m not 100% certain, but I believe it has to do with profit, pure and simple.
One organization has three rivals, and a champion in one organization isn’t “really” THE champ because there are three OTHER champs.
So often, the champs of each organization slug it out to win another championship belt, with the ultimate goal of winning the undisputed championship. Each of these championship fights earns more money for the organizations and the fighters, than if there was just one sanctioning body that controlled everything.
You have four times the chances to be a champion when there are four different championships.
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