I trust in the incentives to work it all out.

A jurisdiction can't stop their people using bitcoin but they can shut themselves off from it's benefits. We've seen that in a few countries already. Eventually they realize their mistake & pivot.

KYC can be a threat to the individual but there are many ways to hedge this risk & the state has the odds against them.

There is much chaos ahead for humanity, but there's also a lot to be excited for. The dysfunction will get louder as the system approaches collapse. Bitcoin is the least of their problems right now. 

 Why can they not stop thier people from using it?  A 10 years prison sentence on using it will stop it immediately. It is a transparent ledger, easy to find out who transacts with whom and to prosecute it.  

 Because its permissionless.

Periods of great prohibition drive great innovation.

If you haven't thought about what to do if your country bans bitcoin, maybe you should. 

 It is permissionless but if you risk going to jail for using it, how does that help you? Who will accept it?

Whats your plan when the gov bans bitcoin?

IMO the chance they are banning  is relatively low. BTC is no problem for the state, it does not work as money, it is a "store of value" now. There are numerous stores of value, no problem for the system.

It was a p2p currency once, that is a serious risk for the state. A store of value is not, just like Gold. 

 Bitcoin is illegal in some jurisdictions. Question for you: is it still used there? If yes, how? And how much?  

 How much is Monero used in those jurisdictions?  

 There's no way of knowing, which I assume is your point.

If authorities can control internet access and surveil us in a dozen other ways it might not matter if bitcoin is permissionless.

That's why I think nostr and other open source freedom tech is incredibly important