Also I don't get how they want to handle Monero, since the transactions aren't public. Will they just ban it? Many open questions.
Nonsense actions always leave unaddressed concerns. Take for instance the Russian address blacklisting from Coinbase. Governments are perpetually trying to figure out ways to control their citizens no matter if their actions are reasonable or not. But as a wise man once said,
Governments are good at cutting off the heads of a centrally controlled networks like Napster, but pure P2P networks like Gnutella and Tor seem to be holding their own.
The power abuse comes from the impression that you need them for almost everything, especially their money. This aggressive behavior is on years now, as pooya87 has said.
As for Monero, it wouldn't surprise me if they required from centralized exchanges to hand out the customers' view keys, if any does accept it anyway; I thought we had baptized its usage as criminal offense. Notice that these actions bring into the open how faulty it is to rely on a third party.
Something tells me that those who do use it and aren't into it to make a quick buck will sooner or later rise in percentage, and along with it, the P2P exchanging necessity might emerge consequently.