Fiat world is so irreparably fucked it no matter what move they make it favors bitcoin. At best they can introduce some short term measures to suppress bitcoin but it's the equivalent to jumping underwater with a ball. The deeper you take it, the more violent the reaction.

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I think making it legal tender is their only option at this point to suppress price and give themselves any time

Bitcoin isn't ready for MoE status for 8+ billion people. It just needs to continue being an SoV and the rest of the layers will come in time.