The allegations in Choke Point were that banks were approving transactions they shouldn't have, without doing enough investigation to check for fraud, not that they were failing to move money from one account to another, the "problem" that blockchain is supposed to "solve".
In what way is blockchain supposed to prevent fraudulent transactions? It is impossible in blockchain to even check for fraud, because every transaction is automatically irrevocably approved by-design, no matter how fraudulent.
edit: unless, what you meant to imply, is that the banks weren't supposed to approve those illegal transactions and so the government stepped in to punish them, and that bitcoin is good because it will never deny an illegal transaction and is therefore useful for committing crimes? well then thanks for admitting it, I guess.
I think you are misinterpreting the placement of trust when you're positioning your responses. You're saying that there are advantages to a monetary system that relies on "objective" third parties to adjudicate disputes, combat fraud, and stifle illicit/illegal activity. You're not wrong that these are useful utilities. It's why I don't believe Bitcoin will ever replace them. It will certainly coexist though.
The trust Bitcoin removes is the central banking component. We rely on governments who have shown wanton disregard for the value of their respective dollars by printing limitless supplies and dancing with the risk of hyperinflation. When we save money in a given currency, it's because we trust that currency as a store of value or we park it in a vehicle that returns value or at least staves off depreciation of value (savings accounts, bonds, stocks etc.) Bitcoin allows you to park your savings in a space that does not require you to trust any particular government's monetary policy. Maybe you're entirely comfortable with the USD or the Euro but there are folks in less stable countries with which Bitcoin is a godsend.
What do you do if you're a billionaire in China and you said something bold online about an atrocity your government has just committed? You hear that you're about to be disappeared so you wish to defect to another country. How do you move your wealth? Can you move it via the existing banking digital network? No because the banking system is controlled by the government and that type of activity is red flagged and stopped. Can you move it all in cash or gold? Perhaps, but it's a huge undertaking logistically and very obviously shows your intentions.
Bitcoin allows you to relocate the entirety of your wealth anywhere in the globe with literally just your brain power. You can memorize your seed and leave to where ever you want. That is insanely powerful freedom which is the result of removing the "trusted" third party through decentralization.
