Am I beginner?

If its a small tournament, go intermediate.

If its NAGA, Grapplers Quest or the like and you go "beginner" you'll compete mainly against intermediate and some advanced. If you go intermediate you'll fight advanced guys and if you go advanced, you'll fight Fedor.

Just the way it is my friend.

Can you spell s-a-n-d-b-a-g-g-i-n-g!

Who are the blue belts and who are the MMA fighters?

not all blue belts and MMA fighters are created equally.