Since I'm using the forum on my phone right now, it's quite a feat. So, I'll just go over the 3 issues OP provided.
Well it's limited to 50 smerit per month, yea? I don't quite understand this one but there is a limit.
You think that legendary members should not be able to recieve merit or..? If thats the case, that's wrong. Merit is there to show the users posting quality, and that even goes for legendary membera since you didn't have to have any quality in posts to reach that rank before merit was implemented.
I believe that ones with the multiple accounts could use browser like tor sp they won't have the same ip. Also, jn some countries you have to pay for static ip, therefore people can just restart their routers and get new ip.
1) That limit is 50 merits per post. There is no limit on how many merits you can spend in a day or month.
2) This is debatable and different members will have different opinions here. I think OP wanted to say here is that new members are finding it very hard to get merits because of increased competition. Those new members will always face trouble competing with legendary members (who are much experienced).
3) This IP issue can be easily manipulated in a number of ways including the one you mentioned.