Thank you for pointing that out. Yes I'm that guy today.

Verified ID wallet sounds completely unnecessary/overkill and this is the first I've heard of it. Who is advocating for that?
The OP obviously.
I don't question that exchanges will need to be certified financial service providers. I honestly don't see how it could work (in a big fashion) any different.
The beauty is that we can have it both ways. Certified exchanges and a black marked beneath, just like in the real world.