I know I will get a hail of downvotes for this, but again you're comparing apples and oranges. The operators are using crypto for a wide range of applications. Using a mixer has probably 99.9% illegal reasons and 0.1% legitimate uses. Making money laundering harder is a good thing, no matter how many people here will try to convince you it isn't.
> Using a mixer has probably 99.9% illegal reasons and 0.1% legitimate uses
Similar to people using paper money or end-to-end encryption really. Nobody needs military-grade encryption or anonymous currency unless they're trying to hide something.
Say I sell software, or SaaS. Then I may need military-grade encryption because I need to sell, a few potential customers (may) need that, and I need to keep my costs down so supplying the latest and greatest cipher to everyone is the right default. It may waste a bit of CPU but it saves the time of the sales and support people, and human time is expensive.
Say I'm going to buy something tomorrow, and I don't like SPoFs. There's a card in my wallet, or maybe two, but if the card reader in the shop is down, that's a SPoF unless I also carry some cash.
That is the fun part, isn't it. Government is now ok with crypto, because it can easily track it. But you try to make it actually not being able to track, booy howdy, it will come down on you like a ton of brick.
Only if you presume that private deeds are illegitimate. That appears to reverse the presumption of innocence, without which the law becomes nothing more than a tool to destroy the enemies of the prosecutors.
unlike 'peer 2 peer' cash usecases of crypto. ethereum added a lot of social elements to it with ens names. All sorts of common folk use tornado cash to keep their private transactions separate from their public address
The most important countries in the world are democracies. Even if the demos is occasionally influenced by poor arguments, the laws made are valid anyway. And the laws say (simplifying) that those who carry out money transfers have to take reasonable precautions against money laundering. Details vary, particularly wrt what's reasonable.
"Doing nothing" isn't reasonable though, and the people has decided. Calling the people's arguments puerile or useless makes no difference.