So at the end of the day it is not all about Bitcoin but rather about releasing their own controlled stablecoin. So what is there for the Bitcoinist to celebrate? First, all I see is a plan that is only beneficial to the government. Creating regulation on cryptocurrency might go southward if they implement tight regulations that include KYC and many privacy-invading demands due to the established new set of law about cryptocurrency.
In fact, legalizing and accepting bitcoin benefits the government more than it benefits bitcoin and the community. Not only does the government collect more taxes, it can also manage us more easily. Governments only do what benefits them, so it would be naive to believe that they do those things for the future of bitcoin.
Actually, I believe this is the cost for the government adopting Bitcoin or cryptocurrency. All engagement in cryptocurrency should pass through a centralized system where every transaction can be monitored by the government.
I have said this before, if we want bitcoin and crypto to become legitimate and popular, the price we have to pay is government regulation and oversight. But it seems like people don't care about that either, which is why they always get excited whenever a country or president shows support for bitcoin. People only care about profit, nothing more, and they know that the more countries that support it, the higher the price will be.