The Fiat Quality Gap: Why the Unbanked Adopt Crypto First

Paper 32draftIntroductory
Jon Smirl — March 2026
Abstract. People adopt cryptocurrency not because they love technology but because their money is bad --- a 41-country panel shows that within-country crypto adoption tracks fiat quality with coefficient +0.248 (p < 0.001), and the yield access gap dominates the transfer cost gap as the primary driver.