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.