It’s far from that simple. Most sensible jurisdictions have no such requirement, and having software broadly available encourages them to add such a thing. AFAIK the only jurisdiction with any such requirement is Switzerland, and it’s also not clear at all what would or would not meet the requirements. The requirements aren’t defined technically they’re defined broadly, simply signing that it’s your address and the exchange checking Chainanalysis might well suffice.
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It‘s that simple. A feature is in Bitcoin and is being used. There is no taking it out again. All you could do is split the versions of code used and long run risk another network split.
The recent European regulations do not have aopp like requirements, but it seems inevitable from the tone of this legislation they will. Individual countries may also decide to interpret it in a way similar to the Swiss if you withdraw to self custody. We should not make it easy to "over comply" by signing to prove control of our self custodial addresses.
If they want to make that a requirement they can implement it and users should have an appropriate amount of fear/resistance for using such systems.