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Someday we might see more people in this area to help clear that ARKS mission and anything that might be behind it.
That is exactly what I was thinking as well, rewards are lacking for both. Battle coins is pretty much cosmetics and emotes 2,800 - 100,000 (not worth the time), Challenge Miles 3,000 for a mag evo device, or 2,000 - 18,000 for weapons and triggers and lol at exp 3000 ticket for 500 cm, and exp 15,000 for 2,000 cm (my honest opinion the devs need to go back and look at their creation and change things, make rewards more appealing to players like me to want to invest more time in challenge and battle arena)
In a report from before the Luster was released, there were some talks of potentially renewing and giving updates to Challenge Mode "by the end" of 2020 on the Japanese side of things.
Otherwise if you would believe it Challenge Mode and Battle Arena are definitely very old additions of the game that have served as what are essentially "Content Islands" that were new and promoted decent rewards for the time. In that same sense, it was the same for Advance Quests, Extreme Quests, and Ultimate Quests for the most part as well as the other quest types we have because on the Japanese side of things most of those are dead with the exception of very few examples (such as the newest Extreme Quest on the Japanese side which gives compelling rewards and scales upwards on player performance rather than keeping a baseline that punishes them).
I am curious to see what Sega will do to renew the content as I would love to see a new universal class that plays fluidly like the Successor classes if we must have the "build-your-character-as-you-go" sort of run like the Challenge Mode or to have a new sort of "here are refined weapon types and gameplay mechanics optimized for competitive combat" weapons for the Battle Arena that don't feel like a peek into how Phantasy Star Online 2 used to be a half-decade ago.