On the sender side, sure, I guess... But to me this sort of mirrors the debate between marijuana legalization vs decriminalization. Some people say "hey let's just decriminalize it, because *I'm* willing to take the risk scoring it..." But this is never going to hit mass adoption until average people have no "reasonable doubt" that the government isn't going to audit them for everyday spending with BTC.

On the receiver side, if they receive Sats, and they sell for Fiat, isn't that still a taxable event? Every single time? (IANAL and I get that you aren't either, but that's my understanding...)