For better or worse, inflation is a primary tool the government and banks use to influence their citizens' behavior. Without inflation there is no incentive to spend your money and recycle it back into the system. It can also be used to soften currency fluctuations.
That being said, if governments used cryptocurrency it opens a lot of interesting avenues for them. Tax fraud might be a thing of the past, people could be forced to register their wallets publicly, better protections for lost wallets. Inflation could be exchanged for variably adding/removing coins from the market.
Overall governments need to be able to manipulate currency, or all their citizens are totally exposed to the global market. Imagine if you had to check your savings account multiple times per day to watch it fluctuate thousands of "dollars" in value.
That being said, if governments used cryptocurrency it opens a lot of interesting avenues for them. Tax fraud might be a thing of the past, people could be forced to register their wallets publicly, better protections for lost wallets. Inflation could be exchanged for variably adding/removing coins from the market.
Overall governments need to be able to manipulate currency, or all their citizens are totally exposed to the global market. Imagine if you had to check your savings account multiple times per day to watch it fluctuate thousands of "dollars" in value.