And the government doesn’t even operate the registrar, it’s operated by doMEn d.o.o. which is a Montenegro version of an LLC.
The .io TLD will likely be phased out in the future due to geopolitics, and all the companies who decided it was more important to signal how hacker jargon aware their startup was will have to go through the very difficult process of changing domains.
In order to log into IRS.gov to get a code to pay my USA taxes, I had to verify my USA ID via a private company called ID.me, whose domain name AND company name are now forever tied to the whims of the government of Montenegro.
It’s not really any different than this website we are now on being at the whim of the US government.
Every domain has a country. It's as if every non-ccTLD was actually underneath .us. For legacy reasons .com .org etc were grandfathered in. gTLDs are also under .us for corrupt reasons.