I can't find the exact article I was reading about the "Digital Euro" but this is the closest one I can get online
ECB said it should be prepared to issue a digital euro, but it would co-exist with euro notes and coins rather than replace them
A digital euro would combine the efficiency of a digital payment instrument with the safety of central bank money
In short, a digital euro would not replace cash, but rather complement it. The Eurosystem will continue to ensure access to euro cash across the European territories where it is accepted.
If we will treat the European Central Bank as an example their own digital currency is a "reflection" of their fiat currency which is the Euro. the European Central Bank has proposed this last year and one the reasons why is the pandemic that had spread fast in their country, also this is their own way to battle out other cryptocurrencies as well as payment processor which their citizens will also be incurring fees just for the transfer. Their value will always be backed up by the fiat version of their money and I think this will be the same situation for other countries seeking digitalisation of their money.