Money is a medium of exchange. So no, I don't think they should be able to arbitrarily reduce your wealth, but hopefully cash doesn't comprise more than a tiny fraction of your wealth.

If inflation truly scares you, don't keep a significant portion of cash on hand. Go take it all and buy gold/houses/land/businesses/securities. If hyperinflation truly happens, we can both laugh all the way to the bank (most of my 'wealth' is likewise in some kind of asset). If it doesn't happen, you'll probably still have made some decent investments.