Being bumped up into Champions will have an effect on Daily Challenges. For most of us it becomes more difficult to come in first or second when in champions.
Also, the purpose of champions is so the better players, the ones that worked to get into champions gaining speed and knowledge along the way, wouldn't constantly win in the lower ranks. Joining a website to play games and constantly losing or scoring in the bottom is demoralizing and won't give newer players a reason to stick around.
Besides, we want those newer players to become badge tarts! They've got to be able to win those badges by coming in first & doing well in the Triathalon and winning those badges, and getting those Daily Challenges done and winning those badges!
Yes, when badges are at stake, it definitely is not a minor issue!