I've thought about this a bit. There is a lot that can be done with the technology to provide users with cheap and convenient access to wonderful financial contracts and systems (as well as other fancy digital services) with some amount of privacy, while still providing the regulators better and more efficient control and regulation than they probably could have imagined possible. I just hope that they don't realize the possibility of this "win-win" anytime soon and start demanding it through law. The problem (and why it is not truly a "win-win" for people like us in this forum) is that implementing all of that will take a global decentralized system and divide it into a bunch of silos for each jurisdiction (keep in mind these could be virtual silos existing on the same global blockchain). This goes against the blockchain spirit of a global system that transcends these arbitrary divisions of nations and their respective governments.
One could in theory create accounts that exist outside the silos, but then they are forced to only interact with other people outside the silos. Considering that the vast majority of users would likely stay in the silos because the government they live in would have strict punishments for stepping out of the silos they create unless through very strict approved methods (and it wouldn't be that difficult for the government to get sufficient proof that one of their citizens is attempting to secretly interacting outside their silo), there might not be much available for those around the world daring (or desperate) enough to step outside the silos.
So the pessimist/realist in me sees all this blockchain tech providing a more efficient and convenient way of operating business as usual (although even in this pessimistic view I still see improvements like more financial transparency and less ability for private organization to break their own rules, and also I see the blockchain voting advances providing significant improvement to the status quo). The optimist in me sees the efficiency improvements that the new tech provides as leverage to get governments to compromise a little on regulations (because they may believe that the very nature of the tech requires the compromise for the sake of getting access to the greater efficiency it provides).