I feel like none of the replies are really cutting to the core of what the problem with your logic actually is—because your way of thinking is incredibly common in tech since it's what we do all day. The fallacy is scale invariance, that the nature of a thing doesn't change when the scale does. Anything you can do you can put in a for loop.

And the equivalence you're drawing is that the fundamental nature of someone recording a video with their phone is the same as a digital panopticon.