heisenburrr
Have Fun Staying Poor
I cannot imagine any government allowing that to exist for long before coming for them nikkas necks. It's a risk man... I mean, anyone can just NOT report their gains, but if they audit you or the exchanges they can find you. Monero could make finding you impossible. And it would be easy as fukk to use. Even the common person would be able to just buy monero with their bitcoin and scrub their whole trail easily.
Monero cannot obfuscate trading activity on exchanges, this stuff is not done on-chain so governments will still have records of those who buy/sell monero.
That can be solved though through crypto/crypto decentralized exchanges and atomic swaps
The fiat/crypto ramp will always remain a target.