There is something inherently wrong with accepting a system that takes money from clients in the manner being described, even if it is transparent and distributed "democratically". The well-publicised nature of the Flashbots quest feels like it is leading non-experts into a false sense of security that they are not bleeding money/ value to block proposers. Even the optimistic scenario for your results seems like it takes from the poor/ inactive members, and gives to the rich.

Unless your solutions guarantee fair execution for clients with no advantages for block proposers, I don't think the Flashbots approach is the long-term solution.