Yes, I suppose that would actually be a way around the consciousness problem. I really like the memory blocker idea—if we assume that it's not 100% accurate and one or two memories can still bleed through, that would be a third explanation for (claimed) past-life memories, beyond reincarnation or them being made up. They're just memories of a previous simulation or real life, not filtered by the blocker.

Sounds like an interesting concept for a story, if nothing else.