I think we can have both and it might even be smart.

A lot of people causing issues are people that can't make sense of many things (like many terrorists). They get a fixed idea and they end up doing something bad. You would catch those with some (basic) surveillance.

A lot of normal people (not wanting to cause issues) might benefit from some privacy, if they understand what are the trade-offs (like government overreach). They can then use a slightly more complex tech.

We would still remain with the couple intelligent but sociopaths (think Unabomber style), but I think no solution can fix all cases.