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on OFAC -- idk man, I'm just restating the law here. You're welcome to (and in fact do!) state your opinions on what they law there should be, but that doesn't change what the law *is*.
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on DeFi -- this is definitely the piece I'm least certain on. I think the proposal I laid out is (a) better than the status quo and (b) better than we're likely to get. But totally understand if you disagree with either of those, or otherwise think it's the wrong approach.
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From your original post, it isn't clear where/how you draw the line. I think this is why so many have been upset about. "Everyone should respect OFAC’s sanctions lists" Everyone? Every American or all humans? Should a protocol developer from Japan be blocking all Iranians?
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"When it comes to blacklists, draw a line between the reasonable creation of blacklists accessible by private parties to help reduce fraud/theft, and the unreasonable creation of blacklists which are imposed coercively on all market actors (whether at app or protocol layers)."
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