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No because that would not measure your skill as a sparrer x-x, wins and losses wouldn't matter. Tiers would place you around a certain level, depending on how well you do against the people around those levels.
You can't abuse it. I added all the defenses that abused the past systems. You can't selective spar, you can't camp on ladder. Don't remember what else used to happen besides those two. You don't need admins to control it? Unless someone is hacking. Which all you have to do is report them.
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Alright I think it'd combat the activity downfall of sparring because everyone will try and move up. Maybe have a reward for each tier you move up?