And that makes it a horrible currency. It makes it highly deflationary which absolutely stunts the working of an economy because no one wants to spend anymore.
Good currencies are not stores of value. They are means of exchange. And crypto is a horrible means of exchange.
It may have some use as a store of value (i.e. digital gold), but it's not clear to me why I would store my value in digital gold, which will require people to altruistically spend money on energy after 2040 or so when no more Bitcoins are generated for miners (in practice much earlier as each mined BTC gets increasingly expensive), to maintain the blockchain, as opposed to investing in real gold, which can literally sit under my mattress and not require a network of planet burning computers for it to not vanish.
It's funny that you believe the nation states' excuses for de-basing their currency. People just use fiat because it is dominant and has a legal system attached. They de-base because they can.
The fact that they thought M2 and its equivalents across the world could rise faster than inflation in perpetuity is just silly in retrospect. They're the same thing in the long run. It was used to get around the lack of ability to enact fiscal policy and to make old people rich, and you bought it, hook line and sinker.
Computing prices have been going down in the past half-century. Yet it's full of computers around us now. And the biggest companies are computing-related. I wonder why.
Good currencies are not stores of value. They are means of exchange. And crypto is a horrible means of exchange.
It may have some use as a store of value (i.e. digital gold), but it's not clear to me why I would store my value in digital gold, which will require people to altruistically spend money on energy after 2040 or so when no more Bitcoins are generated for miners (in practice much earlier as each mined BTC gets increasingly expensive), to maintain the blockchain, as opposed to investing in real gold, which can literally sit under my mattress and not require a network of planet burning computers for it to not vanish.