Yeah not all people are really feel safe with bitcoins. So they will use fiat money. This will continue to happen for decades to come.
So yeah paper money will be used in the near future and years to follow.
If people want to survive then they have to adapt. In the future, especially with all these illegal loggings all over the world and cutting trees to build factory , I dont think that it is still wise to use paper as money when there are more convenience tools for payment. Goverment will act and cut off paper money in the near future when the earth is suffering without any trees