I don't think you are missing anything substantial. While you might have missed the actual historical names and details, you got the idea right. Stasi is just a commonly used name for the Ministry of State Security in Soviet-occupied East Germany post-WW2. Which was known for creating those kinds of systems where it would be commonplace for people to snitch on their family and friends for as much as wrongthink.
On a more fundamental/deeper level, from my understanding, he is alluding to those systems and how regular people would all tattletale on each other voluntarily and out of some misguided conviction and belief in the system (except instead of getting canceled on twitter, they would get gulag'd instead). Without realizing that the system was not their friend and that they themselves were extremely likely to end up next on the chopping block the day after.
On a more fundamental/deeper level, from my understanding, he is alluding to those systems and how regular people would all tattletale on each other voluntarily and out of some misguided conviction and belief in the system (except instead of getting canceled on twitter, they would get gulag'd instead). Without realizing that the system was not their friend and that they themselves were extremely likely to end up next on the chopping block the day after.