From a free markets perspective, if there's demand for a BTC ETF then one (or several) should exist. But I personally am hesitant about them for exactly what you laid out above. It's just another potential attack vector for fiat maxis/the state to exert force on BTC. We can look to the precious metals market for similar dynamics.

In the end, I'll tell everyone I know/care about to buy the real thing. I could easily see a bifurcation in the market with financialized fiat versions of BTC on one side (ETFs, futures, etc.) and the real deal on the other. Regulators would most likely then throw a rapidly tightening dragnet around the real thing to either explicitly or subliminally push people into the arena that they control. Overall, I think an ETF would be a very short-term short-sighted win for BTC price, medium to long-term danger. Would be curious to hear what you think.