Lightning very effectively hides the origin / history of UTXOs, so I'm very happy to see this happen.
I am happy to see Lightning Network growing and I think it's good alternative solution for better Bitcoin privacy, but let's not forget that LN is also monitored by Chanalysis and other government agencies.
It's better to think that it is already compromised, and people should in the same time work on other privacy solutions, maybe some new wallet, second layer solution or sidechain.
Sure, they will try to monitor anything; with Blockchain, it's easy. Lightning, not so much. They will have to run lots of nodes and convince people to open channels with them. They will also need to lock up a large amount of BTC in the process. We can circumvent / fight against this by spinning up more nodes and making it harder for them to keep control of large parts of the network.
I do believe that off-chain stuff is easier and faster to implement than changing the Bitcoin protocol. I have a feeling that commitments and exchange of UTXOs, P2P, without touching the blockchain will play a big role. Excited to see what the future holds for us!