That's complete misinformation.

The point of blockchain is not to be traceable but not alterable or tamperable with unauthorized or false data. A distributed database that can't easily be faked.

Some cryptocurrencies, like Monero, achieve high anonymity. While not perfect, good opsec will fix its flaws. Just like anything. That's not the case with the majority of cryptocurrencies though, but saying anonymity is but an illusion is just false.