I agree with many of your points, and often learn from you as well. This isn't one of those times.

I could be wrong, but it seems there are separate issues that are getting blurred. I know people are tired of hearing this, but Steemit (the main faucet for Steem) is not Steem. It is an interface that happens to be privately owned by those involved in the creation of the chain. I'm not sure of their, or any witnesses, liability in any legal sense to spend their energy and holdings to fight off moves by others of large stake that are harsh and rude.

For many chains, there is only one way to profit primarily. You buy and either sell quick on pumps or hodl and hope for long term growth due to a growth in adoption.

This chain has the added feature of a growing stake to offset loss from inflation coupled with a faucet that is powered by those with stake. That feature in no way negates the normal method most chains offer as a possibility for returns (pump or hodl).

It is your right (as it is all stakeholders rights) to express your thoughts and seek to sway action one way or another, but that is where that right ends. I'm not sure where you are seeing a legal liability when the very nature of a stake based system allows/insists for this dynamic.

This is just a surface look. Looking deeper, they have no real ability to take any action against most people. If a person was determined and had their account(s) banned, nothing would stop them from pulling their stake to exchanges and bringing it back into new accounts. How much energy would one, in your estimation, be legally obligated to expending to play whack a mole?

None of this is an endorsement of actions that have hit several I hold in high esteem hard. It is an honest look and assessment at what is. I have pointed out before, there is nothing stopping those who have had enough from starting their own chain/forking this one and running it the way they see fit. But even then, not sure how one would curb the stake issue. Stake/might makes right. That's the essence of the stake based system.

It seems to me that if it reaches a point where it causes so much grief, the common sense thing to do would be leave, and/or start your own chain.

One can either designate it to being like other chains whose investment potential is through pump/hodl, and perhaps keep what one has staked even to grow from the pool payouts to offset inflation.

Or, sell it all and invest in something else (or blow it all, whatever floats the boat).