@zoidsoft wrote an excellent article about this...I suggest it fully.

It is a done deal. The government cant control crypto and that is being proven. They will go after some of the bigger Bitcoin players to make an example and scare people. That is their best shot...scare people into behaving. Unlike in a bank, they have a tougher time confiscating people's crypto. Also, the present system favors hodling (as @zoidsoft pointed out).

Wait until atomic swaps start to come into the picture especially between different blockchains. Imagine being able to buy Bitcoin, even through a centralized exchanged, move it around, swap it into something else, and even go through Monero. The tracking would get lost completely.