Regulating the bitcoin is compromising the goal of bitcoin to remove the middle man (the fee). Government should create their own centralized digital currency and leave bitcoin alone. If there is regulation, you win some you lose some.
Seriously you think that is the problem? Actually there is more than what you said, having a transparency is one of the greatest threat for the government of course it is because they wanted to control each money that comes in and out of their country. And that was not the main goal of bitcoin, because if that happens who else will mine if their work is for free, there are so many features of bitcoin that doesn't have any contribution for the governments and that is the reason why some country ban bitcoin.