I agree that Schneier's framework is spot-on and also that I'm more interested in his technology perspectives than his regulatory ones. It frustrates me that, with his push for technology in the public interest, he seems to be increasingly focusing on the latter.

It's amazing to me that many people still don't get this:

Regardless of the motivations of individuals delegating their personal authority to such institutions and the rhetoric that involves, the inhumanity of institutions lends to psychopaths, similarly inhumane, existential power to control them

when the tendency for power to attract the power-hungry has been known since Hayek's The Road to Serfdom, where he included a chapter called something like Why the worst get on top and even since Madison's now-cliched "If men were angels" quote from the Federalist Papers.

Still, many smart people continue in the belief that society can get better decisions through unaccountable bureaucrats and single elections 2 or 4 or 6 years apart than from multitudes of instantaneous decisions, reactions, and adjustments, all taking place in real-time.

I also agree with your point that decentralization and counter-surveillance of the institutions represent better solutions than government bureaucrats.