Compliance and privacy are incompatible.

Governments will continually undermine any coin or system (through legal and covert means) that provides any real privacy because it empowers individuals and chips away at their control.

Look at Samourai Whirlpool, Wasabi, Tornado Cash, Roman Sterlingov, Monero, etc...the list goes on

"Ethical concerns must also be considered to avoid facilitating illegal activities"

The ethical concerns of governments and criminals weaponizing transparency must also be considered