The central bank does not

 "Control financial transaction validation for coins and paper bills, cash."

That is bearer cash, validated with local proof of stake.

I am watching the Cato Institute on digital finance, the MIT talk is  on and I am on the seat of my pants. Will they deny the existence of digital bearer assets, will they fake it. She, from MIT,  knows we are watching, and I know she knows.

Now she makes the usual trade. Illicit activities, and she is introducing something like short chain, one hop cash validation.  I wanted petty cash, no third party, but cash limits.  Then she talks regulations, OK, the regulations can say, fifty dollar limit, good enough.

But, do not let anyone tell you SmartCard can be attacked. At a fifty dollar limit, we can make SmartCard as cheap and counterfeit proof as we need.

So, if I go into a Swift bank and open a non profit trust account, I can pay the banker to validate only certain transactions that meet the rule.  But Congress  must make it illegal to run a stablecoin trust, not the banker. But the regulars have already legalized the crypto coin as a security, fine. I want to make a non profit equity which exchange one Swift dollar for one integer digit, uniquely assigned and freely reversible into one Swift dollar. My Swift banker already has the legal right to sell that service to me.

From there I can make bearer cash, as long as the entry and exit via the trust banker is valid, the liability of lost integers on the counter parties. But I know how to make plastic cards that protect integers, except the NSA objects to my methods.

But, in any event. Quit faking is on the cash. Btc cash nuts,central bankers, researchers.  Distinguish between bearer petty cash and money. Under money we can include short chain cash, I suppose, but get the layers defined. Too many people get mixed up and start conspiracy theories.

The commie rat are the case in point, they jumped on digital before they knew all the ramifications.