Excellent analysis.
Tax laws will need to change.
Remember that Tax Offices ARE subject to the law - they only make the law to the extent they are not challenged in the Courts.
Tax Offices often lose litigation when confronted with a descent opponent.
Courts are independent of the government in most democracies (I'm unsure whether the US qualifies on either point).
I think that the collapse of the current financial system is an exponential process: it will happen slowly, then getting faster (now) then very rapidly - too rapidly for the dinosaurs to react.
The biggest obstacle to mainstream adoption of crypto and Web 3.0 is not technical or regulatory.
It is that most people don't like change. They like to stick with what they know and are comfortable with. There needs to be a forcing function to get them to change.
Well, the increasing dystopian restrictions on freedom in the traditional finance and Web 2.0 world are that forcing function.
Notice how quickly huge numbers of people moved to Telegram and Signal over the last few weeks. It is really very easy to do.
Adopting crypto and Web 3.0 is only a little bit harder and getting easier all the time.
The transition could happen in a matter of weeks if the forcing function moves a critical mass to crypto & Web 3.0 and then all the sheep will FOMO.
Critical suppliers will start demand payment in a stable form (BTC) and this will quickly transmit up and down the supply chain.
We are getting there.