It’s bad not only because it’s about privacy but It also about the control or hampering down lightning network that gives bitcoin the upper edges in payment system when competing with Fiat system. The purpose of Bitcoin existence is to dethrone the corrupt global Fiat regime. It’s not easy task and the attack is expected. Fiat WILL die but not before it a fight back. Bitcoin will rise but not before it survive the brutal attack. This might be the time we stop feeling surprised about these attacks and just say “Bring it on! What next?”