Trust is why I brought up a federal reserve issued digital currency. The federal reserve already creates US dollars. This would be the same except there wouldn’t be an entity printing physical dollars and you’d need an account to work with it, like a debit or credit card.
My point, going back to the original post I replied to, is that Fiat Currencies wouldn’t at all suffer from there existing such a government backed digital currency because that would be a fiat currency too, just one which is 100% digital rather that 90-something percent.
Such a thing defeats the original purpose of digital currencies.
Trust is why I brought up a federal reserve issued digital currency. The federal reserve already creates US dollars. This would be the same except there wouldn’t be an entity printing physical dollars and you’d need an account to work with it, like a debit or credit card.
My point, going back to the original post I replied to, is that Fiat Currencies wouldn’t at all suffer from there existing such a government backed digital currency because that would be a fiat currency too, just one which is 100% digital rather that 90-something percent.
Such a thing defeats the original purpose of digital currencies.