Sort of a double edged sword there. A big part of the appeal of crypto money is that there is no "centralized daddy." The upside is that your property can't be confiscated by "centralized daddy." The downside is you can lose your keys.
People who do not understand that trade-off have no business buying crypto.
It can be totally anonymous if you can use a non-KYC exchange way of acquiring it. And then again, you can buy monero or zcash, then buy bitcoin again. I could start up a new open source wallet on an air gapped machine, go to a local bitcoin meetup, and buy bitcoin for cash.
Yes, and a motivated man with a heavy wrench could take it too. That doesn't mean that permissionless currency isn't valuable. It just means that my threats have been reduced from nanny took my money and man with wrench to just man with wrench.
People who do not understand that trade-off have no business buying crypto.