The difference on CBDC and digital payments is very big. CBDCs will be issued by your central bank which will certainly come with mechanisms where they can check all of your transactions directly, collect your data and invade your privacy.
The US already can do this with ATM-dispensed physical cash, and they can subpoena any bank transactions they want. A CBDC wouldn't change any of that.
They presently cannot do this directly because there are processes they need to follow before they can invade your privacy and collect hehehe.
Again, why would a CBDC be any different in this regard? Obviously a CBDC transaction would have the same exact protections as a non-CBDC transaction.
On CBDCs and knowing how the government behaves, we cannot be shocked if these CBDC payment platforms are designed to invade on everyone's privacy. It would be headshaking and very much stupid if everyone trusts the government for data protection and privacy protection hehehehe.
The US government can, with a valid subpoena, get at almost all transactions that occur already. If the US government wanted to invade everybody's privacy, as you keep alleging, then why not do it now? Why go to all of that trouble to only cover about 10% of the transaction volume that occurs? Why not focus on the 90%.
To be clear, this is an academic topic since
the USA will never have a CBDC since there's simply no reason to have one. Physical paper bills are fading away in usage and they will continue to do so. Non-cash checkout lines in grocery stores outnumber the cash ones. Etc. etc. This trend will only accelerate when private-sector digital currency arrives.