Bitcoin serves as a valuable hedge against political risk. Fiat currencies, while generally preferable within stable political orders, always carry some level of political risk. There's always a chance that central banks could be captured, engage in harmful policies leading to high inflation, or that political orders could break down, undermining financial freedom. Bitcoin, as a form of non-political money, allows individuals to price and trade this ever-present political risk.

Bitcoin's value is derived from its ability to serve as a hedge against political instability. Because there will always be a market for people looking to protect themselves against political risks, Bitcoin has a non-zero expected value. This makes it useful for moving value around the world, as it can bypass capital controls and other restrictions.

The demand for Bitcoin as a tool to mitigate political risk suggests that its value will continue to grow over time. As long as there are individuals seeking to protect their wealth from potential political instability, there will be demand for Bitcoin. This supports the case for holding Bitcoin as part of a diversified portfolio.

Bitcoin is particularly valuable for individuals living under oppressive regimes. For those whose financial freedoms have been curtailed by authoritarian governments, Bitcoin provides a means to preserve and transfer wealth outside of state contro

While Bitcoin has a bright future and a growing value proposition, this doesn't necessarily mean that it will replace fiat currencies entirely. The scenario of "hyperbitcoinization" is unlikely and would likely imply a highly unstable and dangerous global political environment. Bitcoin's value is in its ability to coexist with and provide an alternative to fiat currencies, not necessarily to supplant them entirely.’