His argument should rather be written like "This is America, you are not allowed even to write your last name normally" - then it sounds stupid/irrational/funny enough.
which seems to be the case in switzerland: If you want to apply for swiss citizenship, your name needs to be compatible with ISO-8859-15 because the central registry does not support unicode: https://www.dasmagazin.ch/2016/09/02/ic-bin-kein-schweizer/ (sorry, german only, which seems oddly apt)