Well it's third world problems, but the specific event I had in mind was when Russia froze all it's citizen's foreign assets in 2022 in an attempt to save it's own currency from plummeting. This left a lot of people stranded, myself included. I did eventually get mine out, but the law, as far as I know, is still in place, so I tend to think it was purely by luck and some mistake on the bank's side. Others didn't have it that lucky, I've heard of people being fined as much as $400 for just trying. But, it's just one case, I believe there's lots of other places where you just can't trust the government with money - African, South American, Central Asian countries first come to mind. Even Canada had a scandal where they froze COVID protesters assets - I don't support the cause, but I don't think the government should have power over dissenters assets either.

Sure, offshore accounts and physical assets can work in those cases too, but it can be challenging to get a hold of them as an ordinary citizen. Crypto circumvents that by being uncontrollable by design and widespread enough that I can exchange it in some back alley in one place and then again in another with less risk and overhead than any other way.