That only works as long as the government stays clueless. If Solana or Angorand or whatever gets big enough and the government employs some tech-savvy people to examine it, they'll figure out that there is a subset of blessed validators out there that could be legally compelled to cease and desist and that this would cripple the network.
That wouldn't really work for Bitcoin or other PoW coins. They could shut down big mines and new ones would pop up. Of course they could instead invest a lot in both seizing mines and building their own and 51% the network... that's always a risk and any large enough nation state could do it.