[nisegami]

I recognized it in the opposite direction, after observing that gangs inevitably end up being quasi-states within their turf. They demonstrate almost everything I associate with statehood except for issuing their own currency. From there, the reverse (that governments are just big gangs) also flows naturally.

[argomo]

To your point: gangs of various stripes pay blood money to the families of fallen members; they also fund or support community programs to curry good favor.

My takeaway though is that human societies abhor a power vacuum: no matter what my libertarian and ultraliberal friends imagine, there must be a strongman. At least with democracy, we have the opportunity to somewhat influence who that is.