While some might not like this guy down in Venezuela, I don’t see this necessarily being a threat to democracy — really, where is democracy? Certainly, as an American, I would hesitate to say we have much one left. We have the instinct for it but the political infrastructure and sickness we call politics today hardly a democracy make.
Can the state/city coins be created to perhaps eventually break-up the concentration of wealth and value-creation the “powers that be” have today? I say yes and hopefully. If anything, we all should agree that we need this whole Blockchain thing to create new value as far outside of the controlling structures of the “old world” — Europe, North America, now China, Japan, etc. — that we can.
Going forward, it will be up to the conscience of investors whether they want to fund a “dirty bomb” or an authoritarian leaders seeking to subject former “republics” to their (his) corrupt and nasty world views.