The government can't outlaw payments to a company that isn't illegal, but they can lean on our duopoly of payment providers to effectively do the same thing. Crypto enables true peer-to-peer payments, which prevents aggressive government action against companies that are morally corrupt in the mind of some (but not all) people.

That's one less battle to fight, though. At least with crypto the payment platform is plausibly neutral.

They already accept https://thebitcoinnews.com/pornhub-accepts-bitcoin-top-adult...

This simply means that the government will double down on making life for crypto holders more and more difficult, like KYC on non-hosted wallets

> Your actions on the ledger are mostly permanent, and one opsec mistake and you're screwed.

Which is precisely what's motivating the ongoing rapid development of various privacy preservation strategies (Monero, Zcash, Wasabi Wallet, ...).