2) Flames is basically the "Get to Rank 45 fastest GC" where people will join it to get PvP Rank Exp fast without much the effort. Along with the faster queue times compared to Adders and Mael (I've heard it takes about half as long from some people), since Flames always loses, their bonus PvP exp stays at 50%, which nets them 300 PvP Exp every loss (basically a 2nd place) or a 450 PvP Exp every 2nd place (Better than a win). For people who just want to get to the highest rank fastest and do not care about the mounts, flames is the choice. Which also leads to why you guys may constantly keep losing. Some people won't try as hard as possible or will purposely lose on your team in order to maintain that PvP Bonus Exp (If you ever get 1st, you lose it and have to start all over again building it up).

This is basically the reward for the GC that loses the most.