We have privacy coins, and we have regular coins adding privacy. Government language is now negatively referencing these "privacy coins", and in so doing, acknowledging just how traceable bitcoin is.
I'm not a fan of monero, yet equally I have to admit, dash's "privacy" is looking a little out-dated. After Evo, I want to see Dash move to privacy-by-default. Failure to do so, will open us up to significant competition. Burying our head in the sand is not going to work. We either commit to strong privacy by default, or we lose, it's going to be that simple.
Currently, there are four or five schemes for privacy, implemented in different ways. Of them all, MimbleWimble is the best fit for dash. Transactions are carried out via a handshake i.e. the receiving party must sign and reply. It's kind of like receiving an invoice and then you pay. This setup is similar to dash's Blockchain Users i.e. both parties subscribe to each other. Dash's masternode network would be perfect for managing said handshake. The sender, for example, could ask the masternodes to pay someone within 24 hours, or void the transaction if it's not claimed.