“But don’t worry, ‘a few simple steps can prevent unintentional use of non-compliant services. For example, avoid cryptocurrency money transmitting services that do not collect know your customer (KYC) information.’ That’s good advice if you are hoping to actually hand your crypto over to a business that says it will keep your money safe; but if that’s required before you hold your own crypto in a non-custodial app on your own device, it’s essentially a ban not a requirement.”

https://www.coincenter.org/dojs-new-stance-on-crypto-wallets-is-a-threat-to-liberty-and-the-rule-of-law/