badges are more loss of money, what's the deal with your level? myself I call it "time and money waster level". I gave all of mine to friends in exchange for nothing.
Cosmetic looks microtransactions are a loss of money.
So is this.
It's just a way for Valve, and you (if you sell them) to get more money.
By crafting cards you receive a background, a emoticon, and every 10 levels you have more space to showcase your ego.
Also levels increase the limit of your friends list for whatever reason.