"...we are KYCd and AMLd up the ass and the government and government agencies have total privacy with their funds."
How TF did that happen? Completely bass ackwards from how it should be. However, @blanchy's point that cash is completely private is true, and we should have crypto just as private. What funds you have is no one's business but yours. It's only YOUR money, so it's no one ELSE'S business.
Let's put public funds on blockchains, with 100% track and trace transparency.
I agree, there should be total privacy and I believe it will come. First we get to watch Fiat die.
If we must wait until fiat has died for a replacement, we will then suffer an interregnum of total economic insufficiency, as fiat collapses and transacting becomes impossible, with all the social and civil disarray that implies. A preferable future would come from providing a fully functional replacement transactional mechanism, such as Monero transmitted over a global Reticulum network owned and operated by the users, that replaces fiat and causes it's death.
Lets do it!!