Imagine if the US government issued its own digital currency, similar to Bitcoin but backed by the US dollar. That's the idea behind a digital dollar, also known as a Central Bank Digital Currency (CBDC).
The US is still considering whether or not to create a digital dollar. There are some potential advantages, such as making payments more efficient and secure. However, there are also some concerns, such as the potential impact on commercial banks and the overall stability of the financial system.
