Everything is traceable on the blockchain, unless it went through a mixer. Mixers are probably compromised by the NSA, and if not, this could taint all the coins coming out of tl he mixer, so you just proliferated the taint!
Probably true. You're right that lack of anonymity is an issue, but that's an engineering problem. Geeks everywhere are on that like white on rice. In my view, it's only a matter of time before we have a truely anonymous coin. So let's bury the hatchet on this thread and work together toward that goal.