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Not only steem. This is a problem we still are fighting with in our realities outside of steem. It is why all the idealistic and nice sounding ideas tend to only work for a short term before they are corrupted.

Many humans love to game systems.

We haven't come up with a sure fire way of addressing these things outside of computers. Things move a lot faster on computers, so what we see happening at a slower pace outside of computers simply happens much faster inside them. It does make it more apparent. Yet it also can drown us with how much of it we see.

It is why I don't claim to think anarcho-capitalism is feasible right now. While it is the most beautiful idea for a future (Utopia) that I currently know of, it is also not realistic because of these things in human nature.

The only answer to that is education, I mean true education, critical thinking, morality, ethics, etc. Yet, it is clear that those calling the shots on education want none of that.

Something like Steem with a central authority that polices it would likely work for awhile. At least until that central authority was corrupted like every other central authority I am aware of.

Here is an example:

A new product like steem is launched with a statement that we will NEVER down vote your content due to the topic of the content or your opinions.

Allow people to FLAG (without monetary, or visibility effect) and those flags would accumulate. A central authority would then be able to look for fraud, abuse, plagiarism and the flags would be like a priority queue to help them identify such things.

Now how they deal with that. Should they have the ability to remove such posts? Should there be a reputation system where confirming such activities begins to penalize accounts with a bad reputation some how?

Such a thing could work for awhile. Then the old "who polices the policemen" issue arises.

We haven't even solved that outside of computers.

So "doomed to fail". That is hard to say "doomed to be corrupted" is likely always true. The question how long does it take for that to happen, and do you happen to be able to operate there and enjoy it before it is corrupted?

There is no 2nd amendment for the chain. Yet we can choose to LEAVE. If we have the means we can choose to try to create a competing environment. Eventually that is likely to be corrupted as well.

It would be nice to be able to stop that. If we could do that we could actually solve most of the world's problems.