I dont follow the distinction you are drawing.
The point that I was making is that democracy is still a tool for restricting indidvidual freedoms of all types. You can have a controlling tyranny of the majority in direct democracy just like a representative ones.
A feature of libertarianism is seeking to minimize the scope of state control and authority, irrespective of government mechanism.
That is to say, the purpose of direct democracy is still to tell people what they can, cant, and must do.