Basically, it is about confiscation, using an unjust law to create fear of its non-compliance and its illegality. That is coercion in every sense of the word. Monopoly of violence in action.
Yes and nothing you can do to stop it except find an exit (physically from the state which enshrined it). And that leaves the question where do you go? And it’s back to same problem because if they are doing it here believe me capital flight is already thought through and doors shut.