I'm really unclear on how these "bitcoiners" think hyperbitcoinization would play out. Evidently they envisioned a scenario in which bitcoin gets to 10M per coin but wall street and gov somehow stayed away?

His points are not even that cogent. Saying that a bitcoin reserve would hurt the dollar is a bit like saying "the dollar was weaker when it was backed by gold".

Moreover, there is very little discussion in the SBR talks about what a monumental shift away from "Fed Power" this is....having the US Treasury hold BTC directly sidelines the Fed, which everyone should be for.

There is no reason we need a private 3rd party agency to issue currency. The US Treasury is suppose to do that job constitutionally.