I'm just wondering though how many of the bettors would've paid up, if they lost. I find it hard to think 100% would pay. After all, how much is a forum account worth, and
an anonymous one to boot ?
This implies that you would steal if there was zero or minimal risk of getting caught. Maybe I'm naive, but I tend to believe the kind of people bitcoin attracts (anarcho-capitalists, liberterians and so forth) are generally very honest people that for moral reasons would have paid up (regardless of their reputation). I know for a fact I would. And this fact alone makes it very unlikely that I can ever trust MNW again, perhaps if he paid everyone what they are rightfully owed.
As for a scammer being an asset to the community, maybe, I mean, Bruce Wagner engaged the community with his bitcoin show and meetups and could have been thought of as an asset in that way. However when his history was exposed his entire credibility went down the drain and he hasn't been doing any since then. I think at least Bruce Wagner has served his time right, he might deserve a second chance, but MNW, he is never going to be punished for this, and unless he pay what people are owed, I think he is not worthy of a second chance.
The community is better served with honest people than scammers imo.