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Still, I would worry that it takes so long for that to happen, or the fees get so high, that Bitcoin becomes practically unusable for sanctioned addresses. Thus forcing sanctioned individuals
Individuals, sanctioned or not, should not reuse addresses. One address per UTXO. And they can use payjoins to break the common input owner heuristic. If the censors like to mark coins as tainted, let's get them all marked tainted. The more addresses are tainted the more profits the OFAC-compliant pools lose.