[beefield]

I propose one more tiny step. Instead of having to use these cumbersome cryptocurrencies as payments method, you could also use these IOU's of selected trustworthy institutions as payment tokens. I mean, Instead of you needing to get your currency back from Coinbase and then transfer it to your coffee shop owner, you would just say to Coinbase that hey, you do not need to pay me this cryptocurrency, pay the coffeeshop instead. Wouldn't that be much more efficient?

This is actually one of the more frustrating issues for me in cryptocurrency discussions. The underlying monetary policy is of fixed or predefined money supply, that is supposed to somehow stabilize the price/value of the cryptocurrency in the long term because of hand waving, wishful thinking and reasons, all the while having exactly no way to stop fractional reserve banking emerging nor regulating it or the additional monetary supply it will create. This being one of the main reasons why current crop of cryptocurrencies will never be used as economy-wide payment method and why their price will always stay chaotic (unless the price stabilizes to zero...)