Lot of tough questions. The An-Caps and the Libertarians would argue that some essential services should be privatised and competitive. Social services would be funded via donations and goodwill of the public. Maybe idealistic but it would work for me. I frequently donate to the Salvation Army, Red Cross and charities for kids or the homeless. But I don't give money to meth heads or bludgers.
If you believe in socialist government then crypto doesn't work unless you create a crypto backed by government who control the mining/minting process. We might go that way too.
As for steemit being a circle jerk. Sure, I am not convinced either way either. I've seen some big abusers get called out an busted up. Self-regulation is probably the answer here. Contact @berniesanders or join up with @steemcleaners or @curie or some other community focused group and add your support.
It can all work, but it needs some work. Good to see you thinking and talking about it :)
Thanks for the great comment! I'm going to respond in blog form about the first two concepts, and then check out @curie because I noticed on the two posts I did that went over $60, curie was the first upvote.
Thanks for reading and commenting. I really appreciate the thought you put in.