Doubloons aren't taken away for you just so that you have a 0 in your profile. Taking them away is supposed to affect you somehow. If you hadn't done whatever it is that got a moderator to dock your doubloon count, you'd be able to enter the contest. It's that simple.
What I'd suggest you do now is find out who did it and why. Moderators are theoretically supposed to inform each other when somebody gets doubloons taken away.
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