"The current leadership of Reddit really does not understand the community and the fine implicit agreement between the community and the host."
The community doesn't understand the relationship they have with the owners of the site. The owners have final say in the sub-reddits and they made it pretty clear when they forced the sub-reddits back to public, circumventing all of the changes to private.
"This is going to make a great case study in the future on how to manage the relationship with user generated content sites."
Reddit is really a terrible example of anything progressive. It's really a form of social regression. Witch hunts, bullying, silencing, and bigotry toward anything that's not liked and no acceptance or tolerance.
Even look at Pao. When it was thought she was fighting for women's rights, she was looked at as a great person and an asset to the community. Now, after not even knowing all of the facts, she is enemy #1.
If this were all just for entertainment, it would be fine. However, it actually destroys lives, businesses, and careers.
HN is going the same way. 5 years ago, it was a place for intelligent and open discussions away from political correct nonsense. But it's not the same anymore.
Opposing opinions are down voted immediately instead of discussed and bigotry is accepted, as long as it's against groups of undesirables. IE: religious, conservatives, or Republicans. It pretty much fits the definition of fascism.