I'd like to disagree about how money is created and what it represents. You're right that when a loan is made more money is artificially entered into circulation. You say that it isn't normal. However, if you read any history you'll see in sources like Roman history that loans were made regularly and it wasn't a new concept for the concepts so loans existed for quite a long time. A loan is basically a replication of existing money with the idea of the creation of new value. The problem with a deflationary currency like Bitcoin is that as new value is created (i.e. work, products, people, technologies, etc.) more money is necessary to exist in circulation in order to avoid deflation. If new money didn't enter USD people would just "HODL" their dollars and wait for their money to go up. However, when the economy is not doing well, in order to encourage investment and spending, it's better to spend your money now and obtain things and make investments to avoid being hit by inflation and lose money. One of the ways governments do this is by increasing interest rates so that it becomes expensive to take out loans and makes people want to keep their money in the bank.

As for alternatives to fiat money. There have always been alternatives such as owning property, or gold. Your argument is basically leading to the idea that Bitcoin is the new gold. However, the problem with that logic takes away from the technology aspect of Blockchain, of which money is only one application. I agree that Bitcoin money is a positive development and gives people a quick escape from the nasty manipulations of government. But I recommend people to be realistic about their investments. Avoid the hype and emotion whenever you can. Don't believe everything you read, inform yourself.