Cars are waaaay better than horses. So now we have systems of licensing, proving you are capable of driving safely, ways to track your car ensure it is driven safely - perhaps originally if a police officer saw you and now every minute of the day we can see if you are speeding or potentially dangerous
We did all this over time, but the current system woukd give Sherlock Holmes a heart attack.
But we had to find ways for millions and millions to live on top of each other - it is not perfect and can be improved - and should be done with care.
so for example it is not necessary to track the route you take with your car, or who is inside, in order to find out if you are speeding. speed can be measured anonymously, and only when you break the speed limit, the camera saves the recording, scans the license place and identifies the owner/driver of the car. there is no need to collect any data on cars that are not speeding.
In your sex offender example, the sex offender would still be allowed to maintain their secrecy, but they would forgo their right to observe the thoughts or actions of those members who are completely open.
Counterpoint: taxes. By living in a country, you are subject to their laws. Said laws require you to pay taxes on things like income and property. I'm aware this is attempted to be kept secret at a large scale, but when it comes down to it, by living in a country you agree to submit or have collected that information to the responsible authority.
The only sort of society where your view should be acceptable is a society where every individual accepts their every thought and action is observed equally by all other complicit individuals.