The government is not ready to legalize cryptocurrency because they are not ready for a decentralized system, which the government cannot control like a fiat currency. indeed this will be a different matter in different countries. when developed countries are ready to use it, many developing countries still have problems with money laundering in their countries, so this is very risky against corruption by officials
Maybe that is their reason not to legalize cryptocurrency. But I am sure that soon, the government will legalize crypto so their people will have a new payment system besides fiat that they already used. I can imagine that when I buy something in a local store, the officer will ask me what you want to use to pay? Crypto or fiat?
We see that corruption is happening in all countries because the officials want to have money from any sources. But believe me, there will be honest officials that will work for their job, and they will always serve people better than others.