I agree that "tainted" Bitcoin is nonsense.
Since decentralized swaps, mixers etc. are possible for Bitcoin, it is technically impossible to filter out "tainted" coins.
If I use a decentralized atomic swap to trade my untraceable Monero for somebody's "tainted" Bitcoin, then how would the simple act of owning that Bitcoin make it legal for some third party to harass me? Even if the last owner did something illegal with that Bitcoin, that connection is severed the moment I become the new owner.
Any business that supports withholding a users funds over such unlawful reasoning such as: 'the user supposedly owns tainted coins' is a criminal business and should be avoided like the plague.
you can filter out tainted coins, but how costly & time consuming will that be going forward. bitcoin is suppose to be permissionless
bitcoin is operating mostly in the realm of surveillance platforms, most mainstream people fear the system - they will bend the knee and comply
the creep with only increase for people who want privacy, the controllers of this world want a top down authoritarian world government - if you think it's a conspiracy theory - they're openly telling us lol
but i agree, any business who supports KYC, freezing funds etc should be boycotted immediatedly - it's completely immoral
because of all this im gravitating more toward undergroud economy and we know monero is king