Once you let go of God (worship of truth and love) the government or other totalitarian force will try to control people top down. The logical way is to identify them.
You go from a system of free will and distributed cognition to one of enforcement top down. New things can always be added to it as you don't control it. All the "problems" of the states will tag along.
Making it digital is way worse than anything before because it allow to control you without having to pay a cost in enforcement, you control the flow of money, of exchange, you let the computer control people allowing a system so top down the Nazi and communist couldn't even imagine.
Worse part, it's already there for sure but in shadow form, they have all the info about the people, it's just not tied to financial transactions and out there in the public.