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Can we stop using the term "fiat" to refer to government-issued money? The important feature of fiat currencies is that they're backed by nothing. The fact that
by ainiagnioadgnio 8y ago
Can we stop using the term "fiat" to refer to government-issued money? The important feature of fiat currencies is that they're backed by nothing. The fact that fiat currencies are normally government-issued is incidental. The term exists to contrast them with representative currencies. The same goes for most cryptocurrency: it's not backed by anything and only has value because most people agree it has value. Bitcoin is a kind of fiat currency, or at least it's closer to fiat money than it is to anything else.
- quickthrower2 8y agoAccording to Wikipedia you are correct. But I think you are fighting a losing battle in the crypto space where people take Fiat to mean government backed currencies. I think of it this way especially as Fiat means 'by decree' or something like that.