The mechanism is the entire point.
Pre Bitcoin, governments controlled everyone’s money by default. They inflated supply, froze accounts remotely, and debased savings without needing to touch anyone.
Post Bitcoin, they have to physically find you, prosecute you, and extract your keys individually.
They seized $14B from a stationary criminal running a massive fraud operation. That’s not proof Bitcoin fails. That’s proof they can’t do it remotely at scale anymore. They need warrants, arrests, and physical access per person.
Unconfiscatable means they can’t take it without your keys. It doesn’t mean immunity from consequences if you commit fraud and stay in their jurisdiction. Those are different problems.
Cryptography made state power expensive and non scalable. That’s the win.