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Yes there are country proxies.
I think LoL did do this...but then relented on EU because they cut a new deal with GOA. However, the SEA debacle they could not cut such a deal, so SEA players are still IP banned, and it was 3 months after the cash shop started.
Granted, Riot was as generous as possible - full refunds of course, transferred accounts, blah blah blah...but I mean the SEA servers aren't up yet.
Distributors are out for blood - they do not want their citizens giving their money straight to the source when they're doing the legwork to get the game up and running in their region.
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