The fact is, banning X is free political points. The moment a country does it, it will domino into other countries doing it as well, and they will be seen as having been the leader and first of the movement. They should make sure users know of the federated alternatives before they do so, though.
Fine them and repossess all their assets since they are a flight risk.
The same sort of anything goes market disease that is causing severe GPU scalping. When you break and show that there should be no trust or respect for society, you begin reeking people just obsessed with exploiting the systems. And the US is so very much this now, it is a dying, decaying, heavily diseased superpower becoming authoritarian dictatorship that is only going to spread the sickness around until it is gone.