Here's hoping it sustains itself for a while.
I'm not passing judgment yet since the days are young and the political bias on the ground is thick in both directions. But it is definitely not "by all accounts".
But my personal bias on the table is that yeah, trading police that were imperfectly constrained by the system for new police utterly and entirely unconstrained by the system is probably not going to go well. The real "fun" will start when Raz's faction pisses off enough people to form a violent counterfaction and you get a gang war, so give it a bit. It takes time for these things to develop. Let the honeymoon wear off and have this place showing a functioning system for, oh, say, at least a month before declaring victory. Not that you declared victory, I'm just saying, I recommend against getting too invested in this.
It's not as if "a place that has no police" is some shocking new experiment that has never been run before; you've got plenty of places you can look out in the world to see what happens next. It's not a difficult-to-predict progression.
My friends that have walked through the area can confirm.
Why predict defeat?
Why not appreciate the experiment as an alternative to our broken system?
Yeah, it'll eventually go away.
But maybe change will be secured, and there are some ideas that do make sense and will spread or stick around.
Is the worst that could happen worse than the status quo?
You sound like one of the commenters on Drew Houston's Ask HN telling him no-one will pay for rsync.