That's definitely not right at all.
It is insane. I think that they are looking to close any loopholes by making you "volunteer" information.
The government acknowledgement isn't that a good thing?
Yes. It is legitimization of crypto as a threat to the established means. for over a decade they have called it a scam - that means they are knowingly legislating a scam.
Over a decade, crazy people.
Lab rats would be a better definition.