Now that you mention it, i remember that there was some sort of controversy with piedpiper, but i didn't have it in mind when i wrote that... I just happened to remember seeing him post about copyrights and how "copying isnt stealing", so i thought he was a good example.

My point is that there is nothing inherent about the design of the system that dictates you can't post plagarist or copyrighted materials. The community draws the line itself. If Pied Piper and enough people who agree with him decided to start posting copyrighted material again, and they had enough steem power on board to protect the posts, then it would be OK.

Same with porn. Is porn allowed? Yes, but only because it has a lot of steem power supporting it. If someone decided to flag it, and he could get an amount of SP behind him sufficient to flag it way down, then no, it wouldnt be allowed.

And yeah, its not perfect democracy. Some people have way more influence than others in some ways thats not ideal. But one major stakeholder being able to outvote 200 small stakeholders (but there still being other major stakeholders who can counter him) is still a hundred times more input than those minor stakeholders would have if we were casting our votes according to a TOS that dan or someone wrote and handed down to us.

And yeah, it has a major disadvantage. If youre a little guy and a big guy fucks with you, you can't run to the central authority (because there isnt one).