Crypto clearly has the potential to make enforcing trade and currency restrictions far more difficult. When it's too difficult to enforce a rule, governments can (1) stop enforcing it; or (2) ratchet up the penalty when someone does get caught as a deterrent. The second option can lead to unpopular disproportionate punishment, and slowly melts away towards the first one (e.g., war on drugs).
Crypto-currency won't take down governments, especially overnight, but they clearly have a long-term potential to alter some levers of power.
As for government, I happen to prefer democracies, and they are especially beholden to truth. When saying that the blockchain's killer app might be the truth, I'm thinking about how it could help save our democracies.
As for The Truth, as in the ultimate truth, for when you'd use quotation marks -- the "truth" -- I'm not going there. We need only concern ourselves with the notion of truth as opposed to lies.
To clarify the distinction, see how this doesn't work:
"Is it true that you were in Symphony Hall at the time of the murder?"
"Is it 'true'?... What do you mean by that slippery word, 'true'? This notion of 'truth' is simply whatever we agree on and therefore irrelevant."
Edit:
And if the truth is simply what is agreed upon, then are lies simply what is not agreed upon?
If so, perhaps we can agree together that the year is 1984.
I was saying that blockchain might help address fraud, against untruth or deceit. For example I believe that yes, the American Indians would have been better off with unalterable titles to their lands. Would it have changed history? I don't know, but in other situations it might, and for that I point you to Hernando de Soto Polar's site. https://desoto.com
I was also saying that the claim that "nobody cares about the 'truth'" (and so blockchain is not useful) is misplaced, and that in this case there's no good point for using the word truth in quotes as if it were something illusory. There are times when quotes around the word truth make sense, like in philosophy, but this is not one of them. An exception is if you are talking about the potential to use the blockchain to make lies permanent.
And third I was responding to your statement that people who support the blockchain are often hoping to be freed "from the constraints of governments and society", and that my comment was a good example of this. Your comment might be correct about others, but I'm not a libertarian or anarchist. Rather, I'm a bit worried that technology like machine learning and even just social media have the potential to weaken and even destroy our democracies by using lies (doctored video, for example) as political tools.
But you don't even need machine learning and social media. In Russia, lies have undermined what began as democracy under Yeltsin to such a degree that it is now for all intents and purposes a dictatorship. In Russia the playbook is basically as follows: an event occurs that makes the Kremlin look bad. The Kremlin uses its media outlets to make up alternative truths (lies), several versions, some more implausible than others. The person seeking the truth, what actually happened, is now looking into a hall of mirrors. Not being able to see anything clearly and having to spend their energy disproving several false versions, no meaningful discourse happens. The event, in this way, has been neutralized by lies. If a blockchain can help with this kind of problem, then I'm interested.
Edit: Btw, I'm not like a cryptocurrency enthusiast, don't program Ethereum contracts, own no BTC or any other crypto, and believe and have argued here at HN that BTC is a bad currency because of volatility with makes credit and debt impossible. Additionally BTC is used for crime and as a way to cash in on fraud, malware, threats and so on, and I'm not interested in any of that.
There seems to be this underlying pull for many crypto/blockchain enthusiasts that this technology frees us from the constraints of governments and society. "The truth is in the blockchain" and "There is no government in charge" are common refrains.
The thing is, unless you want to be a true hermit, you can't escape the bounds of society. Nobody really cares about the "truth", they care what society says is acceptable (and what governments will enforce). I'm pretty sure there were a lot of contracts between Native American tribes and American settlers that were basically ignored, and everyone knows this, but there aren't any title companies that are worried about this fact.