I don't think it's a dystopia. Hanlon's razor still applies. But I beg to differ on your classification of North Korean policies as "lightweight". Korean internet policies usually mandate a very specific technology (like SEED, or apparently this new model now) and weave a web of highly-detailed, Korea-specific regulations that end up creating a monopoly or oligopoly of objectively inferior and highly insecure software.
This is not lightweight. Even the much maligned Online Safety Act in the UK that forced age verification is a far more lightweight policy than what Korea does. It doesn't mandate a specific software or hardware, it doesn't mandate a specific cipher or protocol. Even the list of methods acceptable methods for age verification is explicitly non-exhaustive[1]. And this is the current poster-child of government overreach in the west!
My example of extremely lightweight digital policies (for most things) would be Japan. Vague requirements, non-exhaustive examples, copious exceptions ("you don't have to implement X if it's technologically cumbersome"), everything can be done either manually or in a fully automated way. Is this good? I think Japan is sometimes far too lenient (e.g. on security requirements), but objectively speaking this is lightweight. Korean digital policy is not lightweight by any definition of that word. If not sending tanks to catch every revenge porn distributor is "lightweight" for you that's fine, but which country does that? If we judge a heavyweight policy by its restrictiveness, then there are probably only a handful countries that can compete with Korea.
[1] https://www.ofcom.org.uk/siteassets/resources/documents/onli...