"The Struggle" Trophy
The Struggle Trophy (ストラグルトロフィー Sutoraguru Torofī) is an important object in both Twilight Town and its digital counterpart. It along with the Champion Belt signifies a person as the best fighter in the town, a sign of honor. The trophy itself is an abstract blue statuette that houses a Crystal Orb (クリスタルボール Kurisutaru Bōru, lit. "Crystal Ball") of four unique types. Each one is of a different color, and, according to Pence, there is only one of each. The digital version of the blue orb was passed along to Sora by King Mickey, so there were two blue crystals in the world, rather than just one. In the real Twilight Town, Seifer was the winner of the Struggle tournament however Seifer's Trophy (サイファーのトロフィー Saifā no Torofī) was handed over to Sora after he fought off a hoard of Nobodys, largely impressing Seifer.
Story
Kingdom Hearts II
During the real Struggle competitions, it is handed over from the previous victor to this year's winner (unless they are the same person). In the virtual Twilight Town, Roxas obtains this trophy after defeating Hayner, Vivi, and Setzer. Afterwards, Roxas shares out the red, green, and yellow orbs with Hayner, Pence, and Olette, keeping the blue one for himself.
In the real Twilight Town, Seifer held the trophy until he saw how much better Sora was at fending off the Nobodies. At that point, he gave the trophy to Sora as a symbol of respect for the warrior. The trophy was left behind in Twilight Town when Sora and company left for The World That Never Was.
