If I feel comfortable to hold the $5k of my closer family but not to have whole coins go through my custody, I probably should not run a mint, right? The workflows I saw so far looked like tokens where redeemable by anybody - no login required - so if uncle Jim put a 10sat token on his timeline for anybody to redeem, now everybody finds the mint and can run funds through it and I cannot even selectively rug-pull the non-family members.

With that being the default how these mints work and with mints being in wide-spread use, tracking UTXOs can become more and more futile, fixing the fungibility of bitcoin but I suspect these mechanisms will get tested in courts for many years to come.