I think the regulations will make it easier for people to comply so long as they register all wallets and addresses they control. The blockchains will track all swaps as designed and it would actually be incredibly easy for the IRS to trace everything on DeFi. I doubt people would leave. Privacy networks like monero might get rekt if nicehash can't sell them network security. The BSV network and TAAL still have the better version of DeFi, since banks and govs will be able to issue liquidity directly and the fees will be the most competitive. USDT costs nearly $100 to move right now on ETH. Even on TRX it is too expensive. CBDC's on BSV will permit sub cent fiat microtransactions. Anyone could participate in the defi market with that barrier to entry removed. Most people can't afford to participate in ETH or BSC DeFi.