I can't think of a scenario where Fedcoin doesn't turn into a lulzapalooza.
If fedcoin is Not released open-source, then it simply cannot be trusted, and they'll make themselves into a laughingstock by all technophiles worldwide... Interview after interview on the news will end with: "But why can't we see the code like we can with bitcoin? What are they hiding? How do we know they can't recall any or all funds from your account? How do we know it won't be inflated? Who's going to trust a coin that has so many unknowns attached to it?"
If they DO make it open-source, then it's another altcoin. Bitcoin could then assimilate any new benefits from it!
Worse yet, it's an altcoin that libertarians will hate with a passion and they won't get many people to mine it, and therefore we'll likely see it 51% attacked hundreds of times until they give up.
I'm hoping for the second option... We'll get to see just how inept the gov's best crypto geeks are that way.
/popcorn.gif
not saying i think it's a great idea or would work, but it would probably be a wallstreet/banks supported coin.. they could provide the technology/hardware to keep it afloat.
wallstreet/banks, if they invested in it, would dump a lot of money into it and then its shares would go up and up.