"Ignoring the erroneous assumption that the sole
goal of the tournament is to win games, does
this
system have any inherent unfairnesses in it that we
didn't spot?"
Other than being unduly complicated
by at least an order of magnitude, and that you are
wrong that (at least in competition and not social
terms) the assumption in your last sentence is
erroneous, none that I could find. Then again, I fell asleep
about two thirds of the way through.
--joe