Point A government's sets bitcoin bann not because they know what bitcoin is and what the bitcoin is, the government is told what it is bitcoin and so on but the government keeps claiming bitcoin as a threat to banking.
Point B government claims bitcoin as a tool to launder money.
Point C government see unstable prices
Just opinion
the point is the government has a fear when it comes to applying bitcoin to life in the country. bitcoin still do the analysis because this will have long effect, for me actually bitcoin is very helpful life. but the government has other reasons as you mentioned still need time to be able to apply bitcoin.
They are not scared, but they still do not have faith in bitcoin, a digital coin that does not have real material value.