What would be the impact of a US ‘digital dollar’?

Unlike money deposited in a bank account or spent via apps like Venmo and Apple Pay, it would be registered in the accounts of the Federal Reserve, not a bank. At the same time, the digital dollar would be worth the same as its paper counterpart, a divergence from cryptocurrencies which currently have highly volatile valuations. — Reuters

NEW YORK: US President Joe Biden has ordered the federal government to look into creating a digital dollar, a move with the potential to reshape how money is moved and used around the world.

Before his order results in a virtual greenback, there will be numerous major impacts – and risks – to consider first.