They do not need to hold custody of all Bitcoin. They only need to control the majority use and narrative and they already have achieved that.

They don't care if a few marginal communities and villages are using Bitcoin as a P2P payments protocol. What they do care about is that Bitcoin does not become a widely used payments protocol and they have already achieved that.

You say we will become united- this is pure baseless hopium nonsense.

Ask yourself this question- If the US government introduced a ban on private custody of Bitcoin (backed by assertions of moneylaundering and tax evasion etc and the argument that you can still invest in Bitcoin via trusted institutional custodians eg ETFs) ) and offered all private citizen US Bitcoin holders a buyout at market price how many hodlers do you think would accept?

Based on historical evidence and human nature it would be 90%+. See E.O. 6102.

Most Bitcoiners would surrender their coins as to not would leave their speculative asset outside of the law and it could only be sold privately and illegally, probably at a significant discount to market price.

But as things stand it is unlikely they need to ever use an E.O. ban - as they have already managed to shift the vast majority narrative and use of Bitcoin from that of a P2P payments protocol to that of a KYCed speculative commodity (increasingly held by institutional custodians) that is very rarely used as a payments protocol and increasingly is not held by anyone who would use it in that way.