There are basically three different strategies here, and obviously the first one is the one policy makers want to hear, or at least a heavily dumbed down one. Uniswap suggested using an analogy of tractors and regulated plows.

I think there is an immense potential for abuse here with word games, so I'm going to spell it out in Reality terms

You either support the United States using it's power over the OECD and Ofac to force pretty much every other country in the world but Russia and China (ask me why they can't to those), to do some type of mandatory KYC and geoblocking and criminal and civil penalty to those who deploy and maintain smart contracts, either through frontend middleware or directly embedded zksnark KYC or embedded whitelisting into smart contracts

or you do not

Your position on this being premised that the US does not have the authority to pressure this through treaties, extradition, and sanctions, is untrue, it is incorrect, it is false. The United States does have the power to do it and

will.