You must feel pretty confident to have gotten this far, right?
WRONG!
You think that defeating a couple of bugs makes you ready for the realm war?
It's not the same to fight against brainless teeth and claws than an equally skilled adversary.
See the dueling arena? It's that fenced circle to the northeast. Take this dual banner. Find a worthy adversary and challenge him to a duel. Fight until one of you surrenders and then maybe you will be able to get a glimpse at what's coming in the war.