i dont think so, fiat is used for bad things either but all people use it and it is not a problem
Fiat is not a problem, because government and banks control fiat. They can print it at will, they can borrow what they dont have it, the can control its inflation, etc. So fiat is good for them.
Banks and governments cant control Bitcoin. So they fight with it, and the simplest way is to scare ppl that cryptocurrencies are only used for illegal things, etc.