With regard to your experience with hyperinflation -- why do you thus think it is a solved problem? Surely there are some advantages to encrypted digital wallet

With regard to your experience with hyperinflation -- why do you thus think it is a solved problem? Surely there are some advantages to encrypted digital wallets over "stuffing dollars in a mattress" in the same way that emails are better than snail mail. At the very least it is nice to have multiple alternatives. With regard to "dollarization" in Argentina - Yes, and it should serve as another counterexample to your point. During the 90s when everything was fine Argentina "backed ever peso with a dollar". At stores no one cared if you used dollars or pesos as they were 1-to-1. (Similar to how the US used to back every dollar with gold). Then when things went south they "undollarized" (once again robbing people of their money as devaluation soon followed). And sure, a country could crack down on holders of Bitcoin too. But the point is that it is a lot harder to catch someone purchasing with bitcoin, or even holding bitcoin, than it is to catch someone with dollars in their mattress or trying to buy something in a physical black market with physical dollars. Its really hard to catch someone with bitcoin "on hand" in general.