Great read! I think you summarized it quite well. A lot of people are missing this basic concept of what money actually is! I wrote a similar post a month or so ago if you're interested.

One correction if I may, fungibility is actually the ability for you to interchange two units of something. In other words, any bitcoin is the same as any other, or dollars are required by government to be accepted for the value on the bill therefore it is fungible. Gold is another good example. An ounce of .999 gold is the same as any other ounce of .999 gold. Hope that makes sense.