Long before now, govt and all regulatory agencies never gave a damn about cryptocurrencies until they discovered its potential and the future great benefits it hold for the masses but due to this fact that it was something they have no control over, they find every necessary means to make it tougher and much more difficult for the masses to enjoy their independence in terms of financial freedom.
Nothing gives a man more joy than seeing that he has full control over his finance. True financial freedom is the ability to do what ever we want with out hard earned money, decide to reveal or not to reveal any information we deem fit or not fit to share with others without fear of intimidation. Because it is our hard earned money.
Financial records of transactions easily makes it easier for hackers to trace ones source of wealth and to me, this is not ideal. Financial institutions and regulatory see cryptos/ bitcoin and its high independency from any governmental regulations as a threat to their dubious ways of sapping ignorant citizens of their money through some heavy taxes, impositions, fines and unwarranted levies. They always want to take dominance over everything.
With the privacy associated with bitcoin and other crypto currency, they found it very difficult to monitor citizens, they find it difficult to impose tax, they find it difficult to place unwarranted fines , in fact it has been hell for them and since they can't take full control, they resort to forcing exchangers to use the KYC.
I believe restoring the privacy will bring back the full autonomy and place the key to financial freedom and right back to the hands of the people. It will further strengthen the autonomy that comes with cryptocurrencies and in the same vein restores the almost lost anonymity and dignity of cryptocurencies. This days, we are forced to provide our KYC and some sensitive information before we can access our funds (the desperate step take by the govt to frustrate crypto prevalence). If privacy is not restored, there is a very high chance and probability that these blockchain intermediaries could sell sensitive and vital information to agencies or fraudsters. Hence the need to restore bitcoin privacy.
I believe restoring the privacy will go a long way in curbing and making financial transactions of people much more secured and free from hackers. High privacy will leave no clue for them to work with.
Privacy remains the ultimate! we must be allowed to choose and decided what we wanna do without been coerced or pressured indirectly.