The governments will probably require everyone to register their self-hosted wallets, but they cannot really enforce it, at least not at the moment.
This kind of thing is already well underway. There are protocols such as AOPP to support people KYCing their own wallets. This travesty even gained widespread support from entities which should really know better, like Trezor.
So as long as we find a way to convert crypto to/from fiat without going through KYC, then we should be fine.
How do you propose we do this once the government succeeds in getting rid of cash and forcing everyone to move to a CBDC, where they have complete surveillance over every transaction?