Crypto isn't taxed.  The government wants you to pay taxes on it, that's different.  But the idea is that you try to hide it.  You could just as well say that during WW II, it was forbidden to be a rebel fighter by the German authorities in occupied countries.  The rebels didn't obey, right ?  
I consider paying taxes an evil deed, because you make the evil government stronger.  But I admit paying taxes too.  I'm not very proud of this deed, but I'm, indeed, afraid of their violence.  I hope I compensate by consuming more tax payer money than I pay, and by being as unproductive as I can, so that I'm a net waste for the state, hence making it weaker than if I were being productive and paying taxes on it.

But with crypto, if you do not try to hide it, and declare your crypto and pay your taxes, why on earth are you using crypto ?  Why not do everything you did with crypto, with fiat then ?