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@mvnla2 More than likely they did really poorly in a higher league and got dropped to the lower league that you are in (the bottom three players drop to the next league down)
I have considered the tactic of loosing a tournament so bad that I drop to a lower level or two (at Diamond now) so that I could rack up some easy wins since I still do not have a gold medal for first place.
To be honest it would mean that I would not be playing any (or many) games for a couple of weeks and I really have a hard time staying away from the game :)
Anyhow, if a player comes in the top three in their tournament, then they should be on the higher league the next time around. I do not know how strictly they enforce player name uniqueness, but I suppose that it would be possible to have a few birds, and give them all the same alias. But I do not think that there is a market for maxed-out angry bird characters like there is for WoW