Misunderstanding
You misunderstand the system. There will be no central proxy server.
That is how it works.
Right now, there is a proxy server for your internet. It is called DNS. There are several DNS servers. They take a name, like "http://www.smartplanet.com" and translate that into a real internet address, which is currently a string of four numbers. If you have your own list of numbers, then you can go directly to the address you want without ever using the DNS system The government control of the internet takes place at the DNS servers. The US Government uses the same tactics as the Chinese do. The Chinese do it for political reasons, the US does it for Political payoff reasons ( think Hollywood), but the mechanics and methods are the same.
To do more, the governemts would have to stop the traffic and look at the packets. There are ways to make that harder to do (HTTPS, for instance), and it would seriously degrade service to put it in. That is rarely done, because no government has the resources to really stop and examine each bit of information that flows to each of it's citizens. one or two, yes. One or two Hundred Million, No.
And, the packets all tell where they came from. Packets are passed down from computer to computer. It is possible to change the computer address, but the real computer address for the rout is on the list, or you would never get it back. Just like with a phone line, if you can receive it, it can be traced.
But there are literally Trillions of packets traveling on the internet at any given time. No single government has the resources to track them all. The US has tried, and failed. So have the Chinese and the Russians. The Egyptians recently tried, with a much smaller number of people. They couldn't either, so they pulled the plug that connects Egypt to the rest of the world. (There are only two cables, one to Italy, and one to Israel.)
China will fail again if they try. They aren't trying. It's just too hard, and would upset too many of their own people.
