If crypto does gain massive adoption and you are able to pay for things in crypto, there would be less of a reason for people to cash out into fiat. How would government collect taxes from crypto gains then? Also, if something like ETH becomes big, how is the government gonna stop people from making pyramids, ponzis, and scams in general?
If government regulate crypto for paying goods in merchant, i am believe government already thinking about this. When we buying goods in merchant, the price already attached with taxes. Beside that, I am believe government will monitor exchanger to collect taxes from our trade or our profits