Cash isn't going anywhere anytime soon.
Several states and cities in the U.S. have passed laws or are considering legislation to protect the right to use cash payments in physical retail transactions, primarily to ensure financial inclusion for all consumers.
States with laws currently in effect that require most businesses to accept cash payments include:
Colorado Massachusetts New Jersey Rhode Island Tennessee (law effective as of July 1, 2023) Additionally, cities in other states have enacted similar ordinances, such as Washington D.C., New York City, Philadelphia, and San Francisco. States with Pending Legislation Other states have considered or introduced bills that would also ban cashless retail establishments and require the acceptance of cash payments: Arizona Connecticut Delaware Illinois Kentucky Maine Michigan Montana North Carolina Ohio Oklahoma South Carolina
You are quite correct. Since fiat is essentially based on trust, they have very little credit. People aren't going to go for anything the Fed tries. In fact, People want to avoid Federal Reserve notes in favor of something more trustworthy.