Though its easy to see why governments would want to regulate the movement of digital currencies, the reality of doing so is much harder. A lot of wallets have no identification to them and rest on a server in a third party country. In the case of offline wallets in devices such as the Ledger Nano, theyre not connected to any network.so is it possible to regulate ?
A very good way in government getting to regulate the digital currencies is for them to get fully involved! When they do, they get to know how things are done. Those with offline wallets can be charged via transactions made whenever they do come online to make any transaction.