Reserve Currency Fallacy

There is a theory that Bitcoin will eventually be held by nations as a reserve currency and that individuals will transact using national currencies "backed" by Bitcoin. The theory asserts that transaction volume is insufficient for its use as a consumer currency, but the ability to resist debasement makes Bitcoin an ideal reserve asset. Central banks and their authorized functionaries would issue dependent currencies while holding Bitcoin on reserve. Given that Bitcoin cannot be inflated, and that reserves could be audited, the litany of problems produces by state control of money would be resolved, ushering in a new era of prosperity.