"Like Donald Trump, many of the Forbes 400 acquired some or all of their wealth from their parents. These transfers of wealth pass entirely free of income taxes."
The measure of a well-functioning democracy is a tax system that fairly apportions its burdens.
Can blockchain and the inevitable virtual economy make the taxing system less disproportionate?
Transfers of wealth to kids or heirs is not entirely free of income taxes. It's subject to estate taxes which equal 50%+ of the value being transferred. This is precisely why the Trump family had to commit fraud to transfer their father's wealth to the kids. They couldn't even set up a trust that would protect all the assets from probate.
Blockchain can't change or circumvent government tax laws.
Blockchain can enable transaction tracking and transparency. Blockchain make payments incredibly fast and transparent. Blockchain can't ensure that people report their income accurately or truthfully.