I would have to trust my government a whole lot more than I do to be comfortable with this - and then trust that my government isn't going to change over the course of my lifetime.

Surely Swedes buy drugs and cheat on their taxes, just like the rest of us. Even if you don't - why wouldn't you want to ensure you can quietly conduct an illegal transaction, should a currently unforseen need arise in the future? Getting rid of cash seems awfully shortsighted.