“An anonymous digital currency allows people to transact business via digital means safely, without fear of control or confiscation.”
Seems to me that a digital currency would be much more trivial to confiscate than physical currency. Push one button and all those ones and zeroes move out of your ledger into another ledger, and the currency is gone.
It all depends on how the system is set up. Bitcoin and others show how it can be done. The currency is not set up to allow the issuer to do what you say.
However, the current banking system is pretty close. Consider the ability of the IRS to freeze and confiscate bank accounts, or the Canadian government ability to freeze bank accounts of the Truckers.