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There are a number of dead posts in this thread. I'd post some here (some of which don't appear to violate any HN guidelines, I'll note), but probably those same moderators would kill this one, too.
HN is awesome because of the rules and moderation (including bans); any unmoderated forum devolves into a cesspit; and it only takes a surprisingly few bad apples to ruin a community.
However, look at the dead comments here and, for each, tell us why it would turn HN into a "cesspit."
I've moderated a number of forums in my time. And the hardest users to deal with are the ones that insist on breaking the rules 10% of the time, and who refuse to stop. Even if they contribute positively much of the rest of the time, they create far too much work.
(Also, I have zero interest in participating in unmoderated forums. Unmoderated forums are either overrun by spam, or by users who somehow manage to spend 50 hours a week flaming people. Look at any small-town online newspaper where the same 5 people bicker endlessly after every single news story. And if I don't like how a forum is moderated, I find another one.)
There is _always_ a technical solution here. If you can't figure it out, keep thinking. There's never a reason to ban/moderate your core users for 10% rule violations. Instead, that shows a weakness of the software. More transparency helps.