First of all, this is theft.

All the ad-hominem/political attacks on Hive account@ned and STINC do not make theft justifiable.

Secondly, this goes against one of the core principles of the blockchain - its most appealing value proposition - which is that your tokens cannot be taken away by anyone.

Principles aside, I think the forked version of Steem would not bode well.

1.) Most people are just "talkers" and not doers. They are complaining about problems, but will fail to materialize solutions.
2.) Decentralized "governance" has (to my knowledge) 0 historic proof of being effective.
3.) I seriously doubt that "the people" would magically pony up the resources to move Steem and its ecosystem forward. Without economic or other incentives, such behavior is irrational. Like it or not, STINC is the entity with most economic motivation to innovate/invest in Steem.

We have some friendly whales in the community, however making an assumption that they would gracefully and competently carry the project is risky.

Thus, my speculation is that if STINC were forcibly removed, Steem would most likely stagnate, have increased politics (bullshit) and die in an ETC-like fashion.