Destroying privacy isn't the solution.
Monero is better poised to use existing cash frameworks in the digital age than other crypto projects.
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Digital cash
Regulation around cash acceptance already exists. Using those same guardrails for monero means compliance is actually much easier than for coins with public history.
But monero has no CEO, no VC cabal, no foundation that is going to go shill exchanges. Cypherpunks are not going to go meet with regulators to create a modern digital framework. (And in this environment why would they?)
If you really want to win, go publish an open source digital cash compliance framework. Include things like compliance SOPs for monero that exchanges can integrate into their aml policies. Focus the main strategy around cash in/out flows. Controls are an extension of irl cash, just as a bank would treat cash deposits for SAR reports etc.
Exchanges are not going to go do the work for you especially for an open source coin without a PR team.
XMR needs transparent addresses. It has to be accepted by regulators to be anything. It can't interact with the world as it stands if we don't bend the knee, and its upside as a white-market speculative asset will be very limited. Let's focus on gains first, we can resist later.