[rlpb]

I don't think this works because the local exchange rate will plummet unless there's a flow in the other direction, and if there is an opposite flow (eg. through market arbitragers) then the original benefit becomes questionable.

I think the true benefit would only present itself if BTC circulated without being traded for USD and back constantly. This would require businesses to pay workers and suppliers in BTC, as well as accept BTC for their goods and services. That doesn't seem to be happening anywhere in significant enough volume as far as I know.