Okay, I may have went too far there. I didn't properly think that through, but I still think it's a bad idea to not use a blockchain for a new currency.

What do you think the Federal Reserve Bank does? Every bank in the US has an account with the Federal Reserve. The Fed maintains a central database of the transactions between those accounts.

The only difference between a blockchain and a traditional database is that a blockchain has an inherit audit trail due to the use of crypto algorithms and digital signatures. A traditional database can have similarly immutable record keeping with digital signatures as well.