Explain to me like I am 5 - What problem does a digital currency solve that is not solved by electronic (digital) transfer mechanisms of existing fiat money? E

Explain to me like I am 5 - What problem does a digital currency solve that is not solved by electronic (digital) transfer mechanisms of existing fiat money? Examples: 1: Stable cash flow (why they want a stable coin --> to monotitor for policy) 2: future projections of the economy (finance needs backing --> data is key) 3: credit scores of people 4: long term investments 5: organisations need finance in good and bad times, otherwise it is survival of the fittest but that is not what society is about.