You'll first try arm wrestling in Crimson Desert during the Chapter 1 main quest in which you arrive in Hernand. Where Rumors Gather sees you head into the tavern to try and track down info about your scattered Greymane comrades, and I guess the best way to do that is try some random-ass minigame? Priorities, Kliff.
The minigame itself is fairly straightforward, provided you're a proficient button-basher, but here's a rundown of how it works so you can keep progressing the Chapter 1 quest to clean a chimney and head to Hernand Castle.
