Maybe you should rethink this a bit. You can't have it all.
I don't think they're necessarily in conflict if the password distribution is sufficiently easy to get in on -- maybe charge $1 to join the fanclub or something to guarantee one ticket per CC#.
But I see what you're saying. I just think your mistake is to equate a lawless, libertarian-ish ticket distribution regime with being free and democratic. There *do* need to be restrictions on ticket distribution to discourage scalpers, but right now those restrictive mechanisms come in the form of secrets and having to spend time trawling through websites and forums. That's not a great system -- scalpers can still find tickets, and genuine fans might not hear about the show in time. Instead the solution should be open and based around limiting individuals' ability to buy for the purpose of reselling at a profit.
Another crazy idea: resell unused (not unclaimed) will-call tickets after X minutes of the opener's set. Let folks pay a surcharge for "secured" tickets if they aren't sure they can make it to the show in time. That ought to make scalpers' lives harder by providing a pool of available tickets immediately before the show, and by putting a window on how long they can sell tickets for. The club'd get to charge twice for unused tickets, too. You'd have to track individual tickets, but they already use barcode scanners at wolftrap -- couldn't be that hard.
Anyway, these are just ideas. I'm not saying it's a snap to figure out how to do this, but it definitely seems possible.