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They probably do but they don´t like that cryptos would at the same time shift the Power away from them. So they try to keep it down as long as possible and will eventually start to fight it as well...

So true crypto would actually put the power into the hands of the people and take it away from the government. Afterall the one with the gold makes the rules.

I think a big concern (power aside) is tax evasion. It's fairly difficult to hide a fiat transaction going through the bank. Very easy to not report a crypto transaction that gets deposited to an anonymous wallet.