Oh no! What if I don't do it will they take my private keys away?! If the IRS wants you to identify your coins for them, to what ends do you think they are going? It's much easier to take your stuff if they know how much you have. This is where rubber meets road and people are exposed as LARPers.

Hey what's the cost basis for every baseball card you own, or other collectible. Do you not see that as ridiculous? Would you comply with that mandate? Governance demands you complicity.