Or a well-audited public ledger overseen by democratic institutions. Bonus if it doesn’t consume the electricity of an average nation to operate.

> well-audited public ledger overseen by democratic institutions

Yes, because democratic institutions have such a great track record of managing things like this

As opposed to what? The wonderfully secure blockchain-based alternatives where redress for fraud and theft is still handled by… those stodgy old institutions?

The alternative is providing a base network that is fully decentralised (and doesn't use a resource based proof system that is terrible for the environment).

Nation states and institutions can build on top of or integrate into this base network rather than building their own walled gardens. Long term this improves auditability and protects these institutions' CBDC networks from censorship.