I can understand your frustration, but maybe it helps to look at it this way.
If a member books a villa for their own use, you can't book that villa.
If a member books a villa for their daughter's honeymoon (and doesn't charge her for it), you can't book that villa.
If a member books a villa for their coworker/friend/niece, etc (and charges them $5 a point), you can't book that villa.
If a member books a villa for a complete stranger (and charges them $10 a point), you can't book that villa.
Is there a difference, really? In all of those cases, the member is using their points, that they paid for, and someone other than you is getting that villa.
If it's the fact that someone is paying the other member for the room that you can't get.....well, there's just no way for Disney to police that. Disney doesn't and can't know when or if money changes hands for a rental.
If you're gonna say that DVC shouldn't allow anyone to make reservations for anyone but themselves for the first few months of the booking window.....well, I think a lot of members who bought so they could take friends/family members to WDW are going to be royally upset.
As I said, I know it's upsetting and frustrating to not be able to get a reservation you want. But really, it's best to look it as 'someone else used their points and beat me to it', instead of focusing on who's staying in the villa.