Rewards
Michael thought that it would be a good idea to reward everyone generously after they put their lives on the line to protect everyone.
First, he decreased everyone's debt to reward the Untamed Awakened for fighting against the Heart of the Blazing Lion army and surviving. Following that, Michael chose to give everyone an additional discount in the Jungle Shop and a bonus for killing powerful enemies.
All those gains might not be necessary, but Michael felt that fighting solely for the purpose of protecting their settlement wasn't enough long-term. Sure, it would be more than enough for a while, however, their enemies would grow stronger and the casualty rate in battles would increase.
Thus, Michael decided that it would be the best idea to give the combatants additional benefits for fighting against their enemies and for killing more powerhouses. It was not like Michael didn't gain anything in return either.