Very good post. Fully agree.

Since the end of the Bretton Woods system, fiat currencies are no longer backed by gold. However, many countries still continue to peg their currencies with the USD and also hold USD as reserves. As a result, the USD remains as the world's reserve currency.

... they start to realize that the US can print money from thin air, distribute it to their own citizens, and then spend it lavishly in developing countries...

Rightly pointed out the problem with using the USD as the world's reserve currency. As we stand, the world is being "held hostage" by the USA. Many of the debts in the world are denominated by the USD and many other countries hold US treasury bonds (though the amount of foreign US treasury bonds holdings is declining). As USA prints more money to repay their future obligations, there will be inflation which will hurt all these debt holders.

Hence, Bitcoin is the neutral currency that is primed to be a global currency. Perhaps not directly used, but becoming a standard where government issued fiat currencies are pegged to.