meaning transactions involving currencies such as Bitcoin, Ethereum, and Ripple will soon be fully traceable.
Did those politicians took a look onto any block explorer? Are any transactions hidden there?
future wallet setups will involve giving up your personal data to the government.
While it's not unexpected at all that custodian wallets (i.e. businesses) may have to gather and hand out identities, I don't think that this can be enforced on proper wallets.
It may end up as a good thing: custodian wallets will no longer be able to claim they don't know whose money they've lost when an indent happens and people may learn to keep the bigger amounts on proper wallets, maybe hardware wallets too.