My main point is:
We need to fix any issues we have with privacy, truth seeking AI, government transparency etc. for the day to day case and not prepare for a total dystopian world where we fight against governments.
Elon Musk is doing the right thing with Grok, Starling and X in my opinion. Without him and Trump Ethereum etc. would already be illegal and we would not discuss on X.
Bitcoin is traceable, Privacy coins are not. This is not 100% true of course, but shows the difference in how governments look at it. In theory we can all still use them in a decentralized manner, but as soon as you try to send your money to a CEX or bank from such an address you will have problems.
Grok: What Is (and Isn't) Illegal
Holding and private use: Still legal in the EU. You can own privacy coins in self-custody wallets and transact peer-to-peer (P2P) or via decentralized/non-custodial platforms. Using them for crime is illegal regardless of the coin.
Regulated platforms: EU-licensed exchanges, custodians, and VASPs cannot list, trade, or easily support them due to AMLR rules. This reduces liquidity and fiat on/off-ramps within the regulated system.
Future tightening: By 2027, expect near-total exclusion from centralized EU platforms. This aligns with broader goals of transaction traceability.
Broader Context
This mirrors global trends (e.g., delistings in Japan, South Korea, etc.) driven by FATF standards. Privacy coins remain available on offshore or decentralized venues, but EU residents using them must navigate compliance risks (e.g., tax reporting under DAC8, which expanded in 2026).