but for the discerning reader,

the whole argument boils down to whether or not UTXOs of the same value are accepted *in practice* as fungible (like bills).

or whether they are seen as different because of their history.

we have plenty of examples of the history of specific UTXOs being 1 known and 2 compromising their value perception

we don't have so many examples of the value of cash being compromised because of its history. except in cop dramas where they paint the bank money with ultraviolet ink and shit.

so, the fungibility of UTXOs is much easier to compromise. it takes very little effort for a peer (or any interested party) to discern between UTXOs of the same value.

but it is SO extremely difficult to discern between cash bills of the same value that basically nobody does it except for law enforcement in specific situations.