The limit for these communes is about 100-200 members before things become dysfunctional. But I can imagine this model scaling in holocratic way, like the federated tribes before America was colonized. I think people get blinded in the hope for a global order, but societies can function like hives with no central authority.
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Exactly, however if the system is decentralized, then you won't need laws at all to keep order. You will have private property and voluntary ethics in everyday relations, and maybe perhaps some decentralized dispute resolution, while having a larger DAO to vote on more basic laws.
Perhaps the DAO system will show us how to organize people on all scales.