I learned at least a couple things here. I didn't know the reward pool would finish in the way you mentioned. Guess I need to re-review that whitepaper. Thank you for that.

So, not so sure I agree with you on a couple of things but agree on most. I believe that flagging is or has become a vital feature of the blockchain however things are not designed in such a fashion that those engaging in the blockchain beneficial flagging actually are rewarded but the community at large certainly gets to reap the rewards thereof. It's a bit of a shame nevertheless it is something that needs doing.

2- You use your voting power for downvote which you should use to upvote yourself or someone else and consume the reward pool

This is where I would have to disagree except for in a more or less utopian idealistic society which we are a far cry from. Flags are reactionary and would not be needed if people didn't engage in the abusive practices that they do. Most of the community, in my opinion, has let it get to this point. Maybe, they had a false sense of security as they though maybe a few agents would really be suited to handle the task of addressing ALL abuse on a platform that is dramatically rising in user volume and activity

The previous model alone is insufficient in addressing the problem. That's why people are coming together with creative solutions but ultimately we need flags and SP to repel the greedy. You and I are one in the same in that we are using our minds to solve the problem where we ourselves may lack power. This is commendable.

A caveat I have is I don't think that @grumpycat using their stake to discipline bid bot users is necessarily a bad thing, It does become problematic when the discipline is not in proportion to the stake of the users. I do think grumpy would do well to condition their downvote weight on certain factors such as rep, stake, and perhaps assess if the users error was one in ignorance or an intentional gaming of the system.

I don't think anyone should be permitted to abuse bots with impunity nor other categories of abuse for that matter but consideration should be given to factors when administering their stake-based punishment.

I think the formula should be tweaked so not matter who you are, the rep damage is proportional. Obviously, this means toning down the weight greatly for minnow and plankton. Also, I do believe users with higher rank may merit more austere punishment because of the responsible of the rep they bear.

As for Haejin, he has attacked friendlies without provocation but not sure if they were minnows, I think he may be learning and understanding what we as a community will and will not tolerate. The lesson is still ongoing but I am confident we are making progress.