This method is desirable in that it is a generalizable and automatic correction mechanism. There is no need for a group of people to come together and decide

This method is desirable in that it is a generalizable and automatic correction mechanism. There is no need for a group of people to come together and decide to prevent it, figure out how to prevent it, and then stand up the infrastructure for detection, intervention, and enforcement. All of those things are cost centers in a non-free market, and will be judged as such. In the free market, somebody will turn that cost center into a profit center and achieve the same end goal. Of course, it doesn’t work in all cases. There are types of attacks that can’t be inverted into a profitable counter attack. For those things, libertarianism may well fall short and a dogmatic ideal.