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Lord Fool was the founder of the Colosseum of Fools, and its first Lord. He paved the way for the development of the Colosseum of Fools into a separate political entity, and was revered as the lord of the colosseum even after his death.
The Colosseum's tales recorded by the Wanderer's journals suggests that Lord Fool first came to host the Colosseum on open ground as a small fighting ring. Taken inspiration from the might of the Pale Wyrm's corpse, he found a skull of similar size and make it his own base of operations. He put up scaffolding around it to build a viewing ring, and charge people to view the battle. Combatants would enter and brawl with each other, the winner taking the cash prize. He sets up a three-tiered tournament, as the Trials of the Warrior, Champion, and Fool, with the Trial of the Fool being the one with the highest honor. Lord Fool himself would engage in battle with victorious Fools who wanted for more glory and geo.
In the early days, there was not much traffic at the colosseum, as there lacks a way for traffic between Hallownest and the Kingdom's Edge. Lord Fool himself arranged for contribution to an elevator connecting the City of Tears and the Resting Grounds, with the condition that the elevator had a stop at the Colosseum's entrance. The Pale Court agrees to it, as long as the Colosseum did not involuntarily force combatants to do battle, and allows the Pale Court to send over personnel to check.
With the agreement, the Colosseum manages to grow steadily from the desperate people who wanted a quick geode, or the glory hounds who wishes to prove themselves. As the battles at the time were relegated to three draws of blood, this keeps a continuous flow of bugs, with some regulars. The fools were given a place of management, and some viewers were content to spend their lives there to upkeep the place for the rights to watch the battles.
With the accumulation of permanent residents, Lord Fool appealed to the Pale Court for recognition as an independent entity, in exchange for guarding the Kingdom's Edge. As the realm have little value to the Court, the request was accepted.
After Lord Fool grew old, he chose the Pale Lurker as the new leader to appeal to the Pale Court. When he died, he was preserved on his throne, and revered as the symbolic lord of the colosseum. His body are still preserved by the Fools Entertainment Enterprise in the flagship building of the business.