Well firstly it might become this thing like "oh s/he made a contest so why can't I?" and regular users might start being ranked over each other which can cause a lot of problems, and also a consequence would be that people could start making their own because they'd like to host a contest too, and in that case Niklaw sums it up nicely in this:
viewtopic.php?f=15&t=6If Runouw is okay with regular users hosting LL LDCs, then I'm okay with it just as long as people aren't chosen depending on how long they've been on the site or how much popularity they have; just as long as we're not being biased. This is why it might be a better idea to have the winner of the contest host the next one, and then nominate someone else to do it if they don't want to/go to second place. If not, then it might have to be just first come first serve.