I don't think we've hit that critical mass yet though. And increased regulation can simply kill it by inches so there's no sudden cliff to drop off of that gets people too upset.
1) Most people on Coinbase are speculators, and...
2) Coinbase follows government regulation
...so it's not really much of a step towards "[having] a real impact on the ability to collect taxes and control money transfers."
I think Coinbase (and Robinhood) offer pretty good avenues towards...
> And increased regulation can simply kill it by inches so there's no sudden cliff to drop off of that gets people too upset.
...by doing something like blocking bank transfers/credit card transactions to offshore exchanges and blocking cryptocurrency transfers to random addresses by most users from Coinbase/Robinhood. That would kneecap the ability to use cryptocurrency to bypass government regulations but still allow the average Joe to speculate.