I don't think many traders/investors/HODLERS actually know what a like kind exchange is so I don't think this is the reason for the route.
You're crazy. The BTC market is controlled by a VERY small number of people moving large amounts of cash. As soon as bitcoin topped out, the same money that was used to pump BTC was all shifted into altcoins at Poloniex. These are entities like Pantera capital, Goldman Sachs, etc, constantly going back and forth between coins like BTC and Ethereum. The people who are actually moving these markets are all utilizing that loophole. It doesn't matter what the small fish know.
You act like tax law is clear hear when it's definitely NOT.
Taking the position that these transactions qualify as a LKEs is an extremely aggressive position to take tax wise. I sure as hell wouldn't take it.
Offshore and double tax treaties weeee. Or just expat and get over with it.