Brilliant. You basically answered all my concerns.
The problem is scaling it with demand and other things but the premise is great.
Oh yeah like someone mentioned this still leaves the problem with mining. Generally speaking mining always creates the probem of people doing unproductive work getting payed for it because it is the only way to do it. What we have no is digging a stupid hole, filling it an digging it again.
But it's still better than just digging an ever smaller hole and hoarding money as output diminishes.