I get the potential existential crisis issue - but bitcoin is subject to that, because can't governments blacklist a wallet? Then that person can't effectively

I get the potential existential crisis issue - but bitcoin is subject to that, because can't governments blacklist a wallet? Then that person can't effectively take their btc away, just like in regular banking, based on some on govt identifying a criminal action, people lose their bank money when it is identified (drug dealers or whatever).