After seeing what is possible in the crypto world, the first step towards setting up any sort of stake weighting in the governance of a system must be insuring the members want to govern the system, know what it entails, and that the failure to meet minimum standards set is coded for their automatic dismissal.
If the oligarchs of a system have their interests aligned with the betterment of the system, it doesn’t have to be necessarily a bad system of governance as long as they consistently have better outcomes and ideas to source from, however, this system would be missing out on the wisdom of the masses, which guarantees to have at least more probability of coming up with better ideas.
Lastly, “Democracy” already has all of the propaganda done for it, even if it was a dictatorship, I’d call it a democracy of 1, no need to change the name, especially since this is creating a more functional democracy. Instead, I’d suggest calling this Democratia Ultra.