It was interesting to hear him say that he has transactions he doesn’t want the govt to know about, but also that the govt will need to know.

His answer is why I have 2 separate wallets. I believe that I will need “sanctioned Bitcoin” to transact one day as I live in a developed nation. I will also need money that is my own.

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yea absolutely. implicit in his answer is the contradiction that both individuals should be able to decide what they want to hide from their government, but also that they have to submit to regulation mandating the opposite.

When there is a contradiction, choose the one that maximizes your options.

Using only kyc or moving to a nation that doesn't enforce it isn't a “choice”