I think this is a stupid. Basically copying of SCII and messing up the whole elo system. Ranked matches are meant to be competitive. If you are ashamed of elo just don't play it. Why is it called ranked if it doesn't show your RANK! If you are good, you are good. No point mixing it up because some people aren't satisfied with their so called ELO HELL. Also if the tier is permanent, this encourages more trolling and flaming in game because they are guarenteed to be in the bracket no matter how bad they are. This also give those lucker a chance to get carried to higher elo. The new system will not measure a player's true skill. It will be more like how LUCKY you are. If you are LUCKY enough, you will be in the division and will never get booted out. I don't see any reason changing the elo ladder.
Basically a Division 1 Bronze can be better (higher ELO) than a Division 6 Gold (with lower ELO) and might be better or worse than the gold.