I will talk from the Thai baht perspective.
There are 3 forms of baht: gold, digital, and physical. Each has a different value.
Once upon a time, the physical correlated to physical gold. That is no longer the case, largely due to the digital abundance. Fractional-reserve.
Can the physical currency return to physical gold valuation? Baht to baht? Yes, I think it is possible, however, it would require a wind down of digital currency mostly in financial instruments. This is simply moving money from one form to another. Existing wealth remains while pulling society out of poverty. It also allows opportunities to build wealth.