Correct me if I am wrong.  But as a Wasabi user, I am concerned about this particular one.  Let me explain why.

I am using Wasabi to be and remain private.  I am particularly using it to stay as far away from Blockchain Analysis as I can.  If my non Coin Joined UTXO will be analyzed before taking part in a Coin Join by Wasabi itself then where is the privacy I am looking for?  Furthermore.  If all coins I own have been Coin Joined.  Why would I continue taking part in Coin Joins when I know this means going through filters.

What happens if each and every single UTXO willing to participate in a particular Coin Join comes from Coin Join outputs.  How do you decide which is 'illegal' and which is not?  Because as far as I know, coins coming from Chip Mixer and Coin Joins are flagged suspicious by Centralized Exchanges.  In theory, this sounds like from now on you filter out the bad stuff and keep only the good stuff.  But if I have Coin Joined outputs from one year ago, are they now 'illegal' because you are not able to verify their legitimacy?

The worst part here is.  When you start censoring transactions, it happens on a subjective basis.  It is not like an illicit transaction screams ILLEGAL through a megaphone when being broadcasted.  Censoring this is subjective.

Let me give you another outlook.

If I was a journalist and a particular government was full on against me and I have always been careless about my behavior by using Bitcoin without Tor and sending Block Explorer queries to verify my addresses.  Now I find out this government turned against me so I wanted to hide my holdings and go private.  Wasabi is supposed to do just that.

But now the government says I am bad and you listen.  They know the addresses I likely own based on my Internet history from the ISP.  They know my IP's.  Now that you listen, you are going to ban my UTXO's which is against the purpose Wasabi existed for.

To me, this is just sad.

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Regards,
PrivacyG