because I assume you think that politicians and regulators will indeed plead for the wellbeing of society (if that's not what you meant, I'm sorry for misunderstanding you).

I don't do "will" and "won't." I do "are more likely than the alternative." A system that does not allow the oppressed a voice in policy decisions is doomed to fail. Crypto investors want a deflationary asset they can HODL. They do not want to create a currency that serves a barter economy. Against that motivation, government doesn't have to be anywhere near perfect.

The great logical fallacy of crypto enthusiasts is the implicit notion that they can carry the day by showing that crypto has none of the vices of fiat. They completely ignore the fact that crypto also has none of the virtues of fiat. Yeah, the stuff is rare and provable and transferable and fungible, and that makes some people think it's money. But it isn't money, because it does not optimally mediate barter of real goods and service of varying abundance. That's what money is for. If a thing does not do that, it isn't money, no matter how much it may look like it. That fiat has flaws thus become irrelevant, because, warts and all, fiat actually is money.