"Not quite sure what that entails."

Well all the talk is of it being tied to gold, so it would in some sense be more a gold derivative: a "paper gold" effectively, and I would imagine that it would utilised for international transactions, as domestic use would curtail the abilities of governments to restructure their currency if required: see the problems of Greece with the Euro.

I find it strange when people talk of new "digital currency" when most of our currency is already digital.
The issue with Bitcoin is of course that it is an electronic ledger and more commodity than currency. It is unsuitable for trading as it is tied neither to a national domestic capacity, nor to oil nor gold but only at the moment to the hazards and vagaries of market gambling which makes it inherently unstable.