Strong public education does not necessarily lead to critical thought. I think you are right in the respect people need critical thinking to engage in a civic society that respects human rights.
You are never going to be able to compete with a natural monopoly nor should you need to. I think you touch on, but don't identify that regulatory capture is the problem. This is a byproduct of corporations getting way to powerful. I have never heard how a libertarian minded person intends to solve this as peeling away the regulation is nonsensical in its description of what is necessary.
I don't think UBI is going to be the panacea you think it is. It could easily be used as a tool of control much the same way social welfare is handled currently.
Not a lot to disagree with here honestly, a lot of decent thought but very speculative to say the least. I think expecting every human being to have excellent critical thought, a deep understanding of policy, and to be an excellent money manager to boot is a bit unrealistic.
It really depends on your goal. Obviously you can eliminate most cheating by a server model that never trusts the client.
This does not eliminate other possible client side cheating such as wall hacks or aim bots.
As I said, there is a logical problem to solve here because in the case of wall hacks (ie seeing enemies through walls) the client needs enough information to be able to show an enemy around a corner quick enough to make sense for a FPS. Visibility calculations are entirely possible and I am sure you could find creative ways to limit this as much as possible.
Aim bots or trigger bots are a lot harder, but for competitive games heuristic based anticheat shows a lot of promise without having to hook the kernel in a losing game of cat and mouse.