Well, there's a selection bias there, too. While it's true that the wheel is (in almost all cases) a superior input device, on the flip side, the most dedicated players are going to be more apt to buy a wheel. So both are undoubtedly playing a role in the dominance of wheel users on the leaderboard.
Meanwhile, I use a wheel (G27) and I'm happy when I break the top 10,000.
That sounds more like a sensitivity issue than a torque one. As I said earlier in this thread, I find if the wheel torque is too low, it becomes too light and too hard to control. A heavier wheel is actually a benefit to a car with as much steering response as this.
That said, I'm running a sensitivity of 5 and a torque of 7 (I think—maybe I have that backwards), and my G27 doesn't feel unbearable on this event. Much better than Round 4 of GT Academy did. I mean, granted, it still sounds like the wheel's going to break itself, but I'm trusting Logitech's engineers on this and hoping it can't do that.
On a related note, I actually find this thing to be easier to drive than the X2014 Fan Car. Its steering is insane but less insane than the X2014. Both have so little understeer that they're hard to drive, but I feel like the X2014 is twitchier. (And the X2011 was worse than that.)