Unless there is a good KYC implementation, fully decentralized exchanges should and will never be allowed by governments due to AML reasons.
If done right, that shouldn't be a problem. Take Bisq as an example... no coins held by the developers, users have full control over private keys, no company headquarters, fully P2P and decentralized (no one in charge) and personally, in this case, I don't see how the government could pressure them to enforce KYC/AML.