"I guess thats a way people know you are good?" NOT AT ALL. Lousy players can accumulate points. Point in no way are a sure indication of a "good player".
1. People can choose game types, etc that maximize point collection
2. Length of time on site can impact total points collected.
3. I lousy player with a luck win in a hug game - say a world game - can score a big pot, when in most cases he pretty much sucks
4. Chaeters
5. blah blah blah
Points have no meaning.
To that point, it can be argued that the win/loss/draw record doesn't indicate who is a good player or not. It is more indicative, of course, but a player that joins, takes a whole bunch of loses before figuring out the game, and then starts on to winning ways with his newfound knowledge may show a loss record that is high, when in fact he has become a good player. To that extent, a win/loss/draw trend would be a better indicator - but I don't expect that to ever happen.
again - point serve no value, and should be eliminated. (But...but...it's let's you keep players out of a game!! that's value-added. Yeah, so you password-protected invite games.