This system was created to protect hero and legendary to get more stakes at bounties. Keep their cheese slice intact. If they wanna solve the new accounts problem that were other ways to solve it. At the start of the new accounts.
This merit thing will never result. Almost no one send smerit to others. Older members with triple accounts and more will send smerit ot each other and not to third party accounts.
I find that post pretty insulting. I've started to put some effort into giving away sMerit. I don't award any to the categories you mention, or to negativity.
I see tons of low-rank accounts projecting their attitude onto others. They'd automatically assume higher-ranks will trade merits or exchange only with alts or friends - because that's what they would do.