The difference is that Bitcoin has proven so far to be able to withstand any attempts of capture, it still has the same hard supply, it still serves as a useful tool for humanity. Governments on the other hand have shown time after time that they are extremely prone to capture by outside interests and are always turned into an enslavement tool against its own people.
Bitcoin can definitely be conjoined and its history obfuscated. If you structure your UTXOs in a proper manner, you can use them with a high degree of anonymity even daily. Further more layer 2 technologies as lightning bring another layer of privacy.
Banknotes by themselves are not evil, originally they are used as a claim on real money held by a bank - gold and silver. However, they *always* end up being unbacked, debased and used by bankster as an enslavement tool. *Every* fiat currency without exception that existed previously was eventually compromised.
Most gold and Bitcoin owned by the banksters is not a catastrophic thing that renders them useless. What is the most important thing is that they are not able to print them out of thin air. Yes, they can manipulate the price short term as long as people allow them to, but over the long term they can’t do anything by owning a large part of the supply.
People deciding for themselves in a free market is different than brainwashed for centuries people forcing stuff on others. Of course in the current state of affair they will be making bad decisions. Remove the banksters and their tricks however, people will start to think straight again.
Nations are made up of families that are able to collectively make decisions, this is how it was before governments came about. Banksters know this and that’s why they are putting so much effort into destroying families and replacing them with corrupt governments.
I don’t disagree that the majority of people have a hard time thinking logically and making sound decisions, but they and a large part of their bloodline were raised to be so stupid and naive. If they on the other hand were lifted and not put down the whole time, most people would be a lot smarter than they are currently.
In a free market anyone can try to steal from me, but I can defend myself and hire people to do so as well. Capitalism means everyone is free to make their own voluntary decisions. You are right however in saying that currently people are fed with an illusion of capitalism, while in reality everything is ruled by cronyism where banksters and their cronies legally steal from everyone.
Hard money is the only way out of this mess. Gold does not work on a large scale because it always ends up compromised. The only other option left currently is Bitcoin. Technology is here to stay, provably backed layer 2 Bitcoin will be able to serve peoples day to day needs.