Wait--the citizens fear the Guardian?
He was publicly accused of being a serial killer earlier in the season, even when disproved that sort of accusation tends to stick in some peoples minds.
And if all those Daxamites survived, how come no Kryptonians did beyond the Fort Rozz prisoners and two kids?
Krypton blew up almost instantly, but Daxam didn't blow up at all, it was hit by debris of Krypton and eventually turned into a wasteland which is a process that probably took some time. Even if it only took a few hours it would have been enough time to evacuate at least some of the people.
That only covers why there's more survivors directly from Daxam than from Krypton, but yeah, there is no sensible explanation why there wouldn't be any elsewhere in the universe.
I liked the episode, James' storyline was sweet, Lena's was sad, she really can't catch a break, and when Mon-El said he had to get something, I thought he meant a suit.

Given how Daxamites feel about lead, they seriously picked a wrong planet to invade.
