I would assume that Fate buys tokens or farms them, which is why he professes to win cups by selling his players and replacing them every season to give him a better cup draw. There is nothing wrong with that strategy, but it is not the only way to win a cup. I won the cup in my second season by buying only one scout, a GK, but its hardly the reason why I won it. I think it is easier to win a cup in the early levels.