Hard forking by completely ignoring perfectly valid blocks just because they include transactions by BTC addresses in the OFAC list would likely create a very big debate.
I don't want a debate. I don't want it to be up for argument, and whichever side shouts loudest wins. I want a permissionless, uncensorable, network.
so yes, unfortunately I see your vision possible, although I hope it doesn't end up being realized.
Hoping is insufficient. Governments around the world will continue to push ahead with more and more invasive control if we don't stop them. I've said for a long time we need more on-chain privacy as a default, but no one cares about privacy anymore. They only care about making more fiat profit. And so bitcoin is headed for government control, and the masses will be happy because they made a few bucks along the way.