As crypto becomes more popular these tracking services will become the norm. 1000 is a low amount in crypto, but in fiat it sounds about right
Possible. Governments are focusing on regulating the crypto market in whatever way possible, but extreme regulations could lead to an invasion of privacy which would not go down well with many people including me.
Monitoring such movements is fine in my opinion as long as they don't change it whenever they want for their own benefit.