But wait it gets better, because in launching digital cash, the Fed would then be able to scrap "anonymous" physical currency entirely, and track every single banknote from its "creation" all though the various transactions that take place during its lifetime. And, eventually, the Fed could remotely "destroy" said digital currency when it so decides. Oh, and in the process the Fed would effectively disintermediate commercial banks, as it would both provide loans to US consumers and directly deposit funds into their accounts, effectively making the entire traditional banking system obsolete.

So we, the people, would give up our transactional anonymity and let the Fed control if/when they could reach out and destroy our 'currency'?

Ummm, yeah. No. No, thank you.