Criminals are now realising that Bitcoin is not on their sides, atleast not like the likes of Fiat currency.
It's easier to get bursted doing your crime using Bitcoin as your means of payment, it's only criminals with zero knowledge that will choose Bitcoin as their money for funding their crime.
The power that Bitcoin gives us has never been seen before, if someone told you in 2005 that sooner we will start seeing the worth of our leaders you will say impossible.
Today we can know how much Trump Bitcoin wallet is worth, the more popular you are in this world the easier it is to figure your Bitcoin worth, unless you don't share your address at all, this is the only way your identity remain unknown.
Who dares go to the bank and ask for a governer's bank account balance? But now we can know because BTC is open source and traceable, isn't Fiat the perfect one for crime than Bitcoin? With power you can be dirty with Fiat, but not Bitcoin, you will eventually be bursted.
Making it the wrong place for crime to exists.
Besides the point you have made, I think the regulations and kyc requirements have done more to make what was once decentralized and private now open and undeletable by just anyone even with coding skills.
This is enough reason for everyone who comes across Bitcoin subject to be interested and join the bandwagon of current users because it is going to be a common currency of use in the world soonest, just like the dollar which is one of the world's most popular currency for trade and commerce.