It's ironic how the Bioshock games vaguely follow the Seasteading Institute's plans (Bioshock 1 with Rapture, underwater cities not quite floating islands and Bioshock infinite with floating cities : https://www.youtube.com/watch?v=E7ZWirICmG8)
TL;DR: Ponzi scheme, involving environmentally protected land, no water rights, wage theft, lawsuits.