I doubt they would just roll over yeah. If you consider the dollar as a weapon/tool for US hegemony, bitcoin functions as almost like a terrorist entity. Not clear what to do with this information
Or it could become highly regulated and be much less useful for trade due to onerous compliance requirements. For example, how do you prove that wallet X that one is sending money to isn't going to someone who's in an embargoed country?
I think that's a gross possibility, and I hope no governments take this measure, but I don't think it would be difficult.
From that perspective, it seems to follow that most governments would want to regulate cryptocurrencies, and probably not in the way that Bitcoin bulls would like it to be.
I could definitely be wrong on this though. I thought in the past that the ad model of Facebook and Google would go nowhere, and look where they're at now.
Are there any other benefits? If not, wouldn't adopting bitcoin be an easy solution to monetary policy while avoiding this issue? Or am I missing something?
One example of having monetary policy out of a country's control is the EU, which has both strong economies (eg. Germany) and weaker ones (eg. Greece). A strong Euro works well for Germany, since they get more effective purchasing power out of their trade surplus. For Greece, a strong Euro means that their exports are probably not competitive price wise.
If these countries had their own currency, the Deutsche Mark would be a strong currency (making their exports relatively more expensive) and the Greek Drachma a weaker currency (making their exports relatively less expensive), giving them a push towards a more even trade balance. As citizens tend to transact in local currency, this also encourages Greek citizens to seek more local goods (eg. Greek tomatoes grown on Greek soil with Greek labor) as foreign goods are more expensive, hence further stimulating their economy.