I agree with your suggestion of general inflation - everything from corn to oil is inflating....but crypto is in a class all its own and is basically digital tulips (except tulips have greater intrinsic value).
As future devaluations for the dollar are basically guaranteed, it makes sense for the Treasury and Fed to nullify any alternatives that would interfere with their policies. No one who really matters has their net worth tied up in crypto (yet) - the entire market can be vaporized with no meaningful political fallout. The government cannot abide some future where Jeff Bezos or Elon Musk or Goldman Sachs has a majority of their assets outside of fiat currency - this would represent an existential threat to the model of governance.
As future devaluations for the dollar are basically guaranteed, it makes sense for the Treasury and Fed to nullify any alternatives that would interfere with their policies. No one who really matters has their net worth tied up in crypto (yet) - the entire market can be vaporized with no meaningful political fallout. The government cannot abide some future where Jeff Bezos or Elon Musk or Goldman Sachs has a majority of their assets outside of fiat currency - this would represent an existential threat to the model of governance.