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So if I understand you correctly, digital cash is just a way of escaping the big two, Visa and MasterCard and their fees? Because otherwise, what'd be the essential difference between any govt.-backed digital money and the official one? What would be the exchange rate? Say 1-to-1 with Euro, or with the dollar? Then what's the point of having it in the first place?

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I would say this would certainly add a lot of value in terms of privacy.

It is possible to create a scheme where transactions happen absolutely anonymously, both horizontally between payer and payee and vertically. Payments would thus be completely private given the used cryptography holds. However, it does require some authority that needs to be trusted, a national central bank for example. At this point, the currency would already be similar to regular cash in terms of trust and value.

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