This exact thing happens too often. We try to use fancy technology to solve a non-texhnical problem.

With or without blockchain you end up at court. If you build a decentralized trust system, the builder of the system needs to be trusted. If you want to use decentralized trust to do your taxes or other government communication you still need to trust your government. These are all actual examples i’ve encountered.

You pretty much always end up at the legal system. If there js anything to make big impact on it would be that. But that requires world-wide revolution.