That's the way it's going to happen, obviously. Distributed ledgers will penetrate an increasing number of niches and organically evolve to perform ever more sophisticated functions until the traditional model is squeezed out.
Most people have difficulty wrapping their minds around processes like this. There is also the entrenched tendency to rely on an authority to solve coordination problems - or any type of problems whatsoever. But thing with technology is that it has been in the driver's seat for quite some time now. Efficiency gains through technology are an irresistible force like that of rainwater dissolving rock.
They artificially solve coordination problems by slowing development to a pace they can process and capitalize on. This time, they are likely going to be moving much too slowly and by the time they realize, their only course of action is oppression.
Will that work? I don't think so because it would have to be done in all countries simultaneously.
Nope, doesn't work at all.