I wish what you said would be true but sadly it isn't because the many Governments are against bitcoin which is why they are not legalizing it in their countries.
The motive for Governments encouraging cashless transactions is different and I don't think they will approve bitcoin as a payment method any time soon.
Bitcoin is to track and it's volatility is currently high for payments and this is why many merchants don't prefer bitcoin as a payment method.
Governments will only encourage their fiat payment methods for digital transactions now but as transactions get digital in future we might have the chance to see bitcoin as a payment method.

I'm not so sure the government wants this cashless policy to avoid the spread of covid-19 even if cashless payment is one of the most convenient system of payment right now,i believe they just want it for themselves, so that they can be able to track and monitor everyone's daily transactions, and I don't think the government will ever consider using bitcoin to make everyone adopt the cashless policy,they hate it, since they can't regulate it, everything about crypto is a scam to them that's why bitcoin is strictly prohibited in most parts of the world,so if they will ever consider the cashless system of payment I believe they will use only centralized electronic currencies that are been regulated by the government, but certainly not bitcoin.

Before Bitcoin can be used as a transaction widely within a country, it needs to study on how the circulation of this Bitcoin would happen since they would also apply tax on it. However, there are no news regarding this kinds of advancements and we should just stay aware that this could happen.

What is more possible is the fact that transactions can be cashless but in their own currencies first since its more available locally and easier to implement.

     While your reasoning for a cashless society using bitcoin may be a bit plausible at these times,  I really do not think that it is acceptable or would gain agreement from the majority since even if people wanted a cashless society, the government can find ways to provide this without even thinking of using bitcoin. And this is obviously because governments mostly hate bitcoin and it's uncontrollable nature.

 I don't think BitcoinBTC will be used for daily life. Also, Bitcoin is almost beyond tracking. The government won't allow a currency which they can't track. For the cashless transaction, we need stable currency. Bitcoin is not stable. You don't want to lose 1000$ in 30 minutes in half an hour. Remember, Bitcoin has this type of history. So we need stable currency for making cashless society. Using Blockchain based currency is a great idea.

The definition of cashless is a condition in which people transact without using cash, but with electronic money or card payment instruments. A cashless society will definitely happen because its phenomenon is relevant to the rapid development of technology. Although both are technologically similar to e-money, but bitcoin and crypto are decentralized and not de yure recognized in many countries. The laws of a country are the biggest enemy of bitcoin development in the whole world. My optimistic prediction is that the world in the next 1-2 decades will be filled with CBDC as the most relevant form of cryptocurrency and can consolidate the interests of the state and crypto users. Regarding the adoption of bitcoin, a country will never be able to follow the decentralized standardization of bitcoin, even if bitcoin is adopted in a country only as an alternative payment (adding to), not a substitute.

The sovereignty of a country is reflected in the socio-economic conditions, politics and defense and security. For the government, state sovereignty is absolute (fixed price) and the full adoption of bitcoin is contrary to the concept of haste. So that the government version of the cashless society is different from the cashless society which is indinently embodied by the bitcoin community.

Here in my country government gave us the chance to invest and use cryptocurrency most especially Bitcoin. They allowed cryptocurrency exchanges to operate but are regulated. It's been a while where we are using it to pay for goods and services. I am the living witness or any other people that lives in a country that supports Bitcoin and crypto in general. It is way more convenient than spending hours in line just to pay for something or even go out most especially during pandemic. Bitcoin has already been used in some selected countries arround the world we're happy to have it.

I strongly agree that bitcoin is used as a legal means of payment when the corona virus outbreak spreads. we can buy and sell transactions without bringing cash to the traders, we can also transact without coming into contact with other people, in my opinion this is a very good idea.
we need help from the government to approve crypto currency to be used as a means of payment.

Cashless transactions =\= crypto transaction.

People uses cards,ewallets, internet banking for their transaction and purchase which doesn't mean Bitcoin were used in all the cashless transactions.I really wanted to spend bitcoin in my country but there is no such place exist so I have to convert it into fist first before using them for ny needs.

Going cashless doesnt necessarily mean to use bitcoin.

Government wont consider bitcoin since it is decentralized which they cant control and not to mention the high volatility.

There are many existing payment method nowadays and government are not relying on crypto alone.