Governments can define and control the boundary conditions of fiat money through banks and marketplaces. This way they control the transactions between fiat and crypto with KYC, AML, etc. regulations.
The real issue in crypto is not about how to move money around, but about how to move fiat money into the Blockchain, in order to create a real economy in there. This battle has been lost time ago, because:
– The preponderance of centralized non-transparent gatekeepers (the marketplaces).
– The massive arrival of speculative oportunists to the area (generating volatility).
The only way for crypto money to really have a chance is to enable decentralized value creation and exchange INSIDE Blockchain tech. In this sense the NFTs creator economy could be a real, genuine crypto economy.
But unless we find ways for people to earn cryptos in exchange for their work the whole industry is going to die.
This is what this was all about from the beginning. Back to basics!.