that means they can get 100% proof of stake in PPCoin
they'd have to not get caught because right now, with the NSA leaks, large governments are not looking too people friendly.
I suspected in 2001 the
NIMDA internet infection was a government attack due to the incredible level of sophistication at that time. But, when I analysed it for a week, the "heartbeat" came from IP addresses allegedly coming from North Korea. Doubting that North Korea could possibly launch this sophisticated of an attack, i suspected that the government doing the attack was smart enough to pick a scapegoat.
so, in the scenario you describe, the question is, how will they create the scapegoat?