Topic: Cryptocurrency vs. Fiat currency. - page 6. (Read 897 times)

I think right now there is no comparison b/w the two. Fiat is well established and we use to live our daily life on fiat.
Crypto is fairly a new concept and it will take quite a while before we can give a verdict that whether its a match to fiat or not. The only way it's used is to store value not as a payment system.

Both

Both are different , very different at the same time one should understand that , Cryptocurrencies are not trying to replace Fiat or something like that.

Fiat cannot be replaced and it is stable , non volatile but one cannot earn using a Fiat , not that much , one needs huge amount of investment and good marketing strategy.

But with cryptocurrencies , you can start with as little as 10$ .

Both are different , depends what you are using it for.

I like the idea of cryptocurrency, and I like having some of it. If there were truly an option to pay for stuff with Bitcoin and not overpay with the fees or anything, I would prefer Bitcoin over fiat. For now, however, Bitcoin is way behind fiat in terms of adoption, it has scalability and recognition issues. For example, I am going to need to apply for a visa in a few months, and I'll need to prove that I have some money to live abroad. For that, I need a bank statement. I have enough money in Bitcoin, but for it to count I have to sell it for fiat, I cannot provide a signed message to the Embassy. Such things are serious obstacles for me.

I like to use cryptocurrency over fiat currency but in reality, we tend to use Fiat currency for daily activities because of the lack of merchants that accept cryptocurrency.

 Among those cryptocurrencies, I would avoid Bitcoin for transaction because it takes a lot of time to wait for the confirmation, I love Bitcoin but it frustrates me to wait several minutes for my payment to be confirmed, and I am forced to use XRP if there is an option to pay with it because of its fast confirmation time.  I hope Bitcoin confirmation time can compete with XRP in the near future.

Yeah! Cashless economy acts as a big blanket which covers all citizens of the country and one can easily trace the source and destination of every transaction. Sweden is perfect example of this. But not every person prefers such system. When living in an independent democratic country, people want liberty and privacy in using money. They have argument that such system will only target citizens while leaders and politicians can easily do corruption. So even citizens should have anonymity and autonomy in doing transactions. Bitcoin was born as a product of this thinking. Now things have gone way ahead and projects like 'Digital Gold' providing anonymity in holding assets like gold which was almost impossible to even think of 10 years ago.

Really? Don't you use net banking or debit card? Won't you say it is possible to use fiat currency online too?


So is fiat currency. I can easily make payment to any person in US in US$. It is very easy to use fiat currencies globally.


Fiat currencies are also volatile, not as much as cryptocurrencies but volatile. When calculating volatility of cryptocurrency, you take some fiat currency as base for example calculating volatility of Bitcoin in terms of US$. Similarly, fiat currencies also change their value in relation to other fiat currencies. Euro may worth $0.90 one day which may change to $0.88 the other day. In fact forex market is much more bigger than crypto market.


Again, it is not necessary that whole supply of fiat currency should be in physical form. I rarely use fiat currency as hard cash. Most of my expenditures take place via debit/credit cards or net banking.
Also it is wrong to assume they have fixed price. In fact, 'fixed price' is wrong term for money. You should use the word 'value'. Also, value of fiat currency in not fixed too. 1 kg wheat may worth $0.50 today which may rise to $0.70 tomorrow. It signifies that value of fiat currency changes.

Well cryptocurrency is more convenient to use in transactions and investment business because with significant benefits it can happen but in the security of these funds there is no one waiting for an answer so most use Fiat to conduct daily transactions and their needs in their area if using cryptocurrency then it will not be able to because one region still does not use crypto in a day in his area.

So crypto is used for long-term and unlimited investment.

Cryptocurrencies are not currencies.They aren't accepted by the law of any country as currencies(being a legal tender).Bitcoin can't be considered a real currency due to it's big price volatility.Cryptocurrencies are digital financial assets.
Fiat currencies are worse than crypto coins,because their value is constantly going down(inflation),but according to the Gresham law "bad money dominate over good money".The cheap money will always dominate
as a way to pay for goods and services,because there's no expectation that their value will go up really fast.

Before anything else, the definitions you've provided are somehow limited. First, cryptocurrency does not necessarily mean it has a volatile value. There are several stable cryptocurrencies, commonly called stablecoins. Libra, the controversial crypto project by Facebook in partnership with the huge names in the business sector, is also planned to be a stable crypto. Second, fiat currency is not just the hard physical currencies of old anymore. Fiat has already transformed into cashless with the use of cards and other online payments.

Anyway, in my actual circumstances, I cannot just easily choose between the two. A few online transactions are the only way for me to use crypto as a currency. Outside of it, it still has to be purely fiat whether in cold cash or card. We are still far from transforming into a digital society. Cash is still needed in my day to day transactions.

In my opinion, it's not really necessary to compare or compete with the two currencies. Why? They have different principles. They are definitely two different things.

We need Fiat currency to make sure that we will be having a nearly stable currency for liquidation. Cryptocurrency is the one who will help us to enjoy the volatility of the market. There will be a time where Bitcoin and other cryptocurrencies will not be decentralized anymore (but I don't know when). The governments around the world are already taking actions regarding the liquidation process of cryptocurrencies and are trying to avoid crimes such as money laundering and other cybercrimes keep growing. But for me, Bitcoin and other crypto are good for having a good asset.

Settling with cryptocurrency is not a good idea. At least for now.

Cryptocurrency is much better. It helps its user to make transactions more quicker, easier and efficient. You can make any transactions anywhere using lower fees. Another reason what I like the most is, it is not bring controlled by the government which avoids any conflict with economic and political issues. And also, the more people that uses crypto, the more its value will increase.

Fiat for daily use and bitcoin for daily transaction and updates.

When it comes to being practical, it is more reliable to use fiat in many transactions like buying goods or everything you want. But the way for you to increase your profit is through cryptocurrency. Cryptocurrency is like a business that you need to manage, monitor, and make a strategy where you can make it grow. Investment is also a factor why it is like a business, you should take a huge risk but the profit is surely high and can make your life change. That's why mass adoption is still developing that's because many people are continuously knowing the benefits of crypto.

Bitcoin is better. I won't delve into altcoins, as you would need to carefully examine each of them, but most of them have major flaws. "Volatility" means freedom, it is the price people are willing to pay for something in the market, and the current representation of the global sentiment of buy vs sale.

Those that want it vs those that don't want it for whatever reason. No committee, government, politician, banker, foundation, conglomerate, company, etc; complete freedom. That is what a price freely fluctuating in the market means.

The rules of Bitcoin are established in its code, open for everyone to see. Those that agree with those rules, mine it and rune nodes, and they cannot be easily changes without the approval of the vast majority of those running them, true democracy.

Your government, or the foundation that "controls" your altcoin, can decide to alter the rules overnight. You don't want this, but cannot stop it. You think they would never do it as it hurts themselves, but you would be surprised what a few people with power can do. Any FIAT can enter hyperinflation, and it is but one executive order away from doing so. Imagine any excuse: A coup, a failed crop, military invasion, for those darn politicians to pull the trigger.

People want Bitcoin because its useful to them. They studied it and know its characteristics, and so did with the others and fiat. Those who are not convinced them sell them and those who are buy them, except traders who constantly buy and sell for profit without any special attachment.

But in the end the market represents the entire world sentiment. Sure some people may have more than others, and skew things a little, but in the grand show the free market is a peaceful and democratic resolution of conflict. Your vote is your wallet isn't just a saying, its a fact. When you buy you show support, and when you sell you show disapproval; no middlemen.

There is nothing fixed about fiat, if anything, it has guaranteed inflation, in varying degrees. It has both infinite production and infinite manipulation by very few people in control, its garbage.

I don't agree with this line.

Patience is needed as an investor but I don't think that is what you only need in this market. We all know that scams and hacking are not that uncommon in this market so you really need to be knowledgeable too. Knowledge can help you from investing, from trading, hacking and scams. Another thing is balance since losing is inevitable, you should have enough balance to lose here.

Fiat currency

Because it is legal (for our daily use, any time and anywhere) in every countries and they are highly stable and controlled. Which is unlikely to bitcoin or any type of cryptocurrency. It is still not legal in every country and there are so many people who are against it.

You are in the forum of cryptocurrency and especially it is a Bitcoin forum. Expect to get more answers and favor on cryptocurrency and for sure it will be biased.
But I am just surprised for those telling that fiat for daily used?
Why not also cryptocurrency? Because of transaction fees? Well, it is. But there is lightning network already and other cryprocurrency with almost 0 transaction fees.

Fiat? Fuck it. Fiat isn't stable at all. Just because 1 USD you have today will be worth 1 USD tomorrow too doesn't mean it's stable. In fact, you can see how we lose purchasing power the more time passes.

If BTC would have been used as the national currency, you would've considered it as "stable" too. But you probably don't take into account the diversity of fiat currencies and the ratios between them changing on a daily basis.

Cryptocurrencies are decentralized, anti-inflationary.. all great & fun until we get into the intimacy subject. That's when things go dark. It's probably going to be a fun game for max 5 more years and then freedom will be just an idea, just a definition. I'll bookmark this reply with the hope of finding it again +5 years later to see if my words came true or not.

Paper money is better in terms of privacy/anonymity although it's not very transparent at all. There's no need for a public record of where I received my banknotes from and where I spend them. I can hand you $10k in paper and nobody would have to know where that came from. However, it's centralized so just fuck it. That's where fiat will never beat Bitcoin. You always know that your 1 satoshi is real, is only yours and will never be replicated by anyone ever.

Depend on the usage.

If you will consider daily use and the number of people using and accepting it, I will choose fiat right now because it is the currency that is being used worldwide. Only a few people around the world are using cryptocurrency right now as a way of payment and most of them are either merchants of business owners.

Now in terms of investments and profits, cryptocurrency is more profitable than fiat (forex trading). We know what is the capability of crypto when it comes to profit and vice versa. It is the best performing currency within the past decade. Its volatility nature gives huge profits for the investor but at the same time, huge losses for newbies and some investors.

It is like choosing whether pulling off your wallet to get some money or pulling out your phone cause you have something to scan and pay. Although I'm a huge fan of crypto, I would still choose the fiat since it is the one that we are using now and the complexity of using the crypto is not yet settled, there are still bugs and errors to be fixed. We are on the process of transitioning, sooner or later we'll be having it.

Same with you, every day I use fiat especially if I going to buy some stuff in the store and even I have bitcoin or other cryptocurrencies still no one them will accept because they don't even know it. As of today, it's still rare to see a store that accepts cryptocurrency and but when it comes to big establishment some of them already accepted it. Then, sometimes if I need to buy game credits I use my bitcoin to buy it in online and I also use our fiat to buy it.

Don't always spend your cryptocurrency on buying some stuff and it's better to use our fiat currency unlike if you going to use bitcoin which you just wasting your opportunity to earn profit and we all know most of the cryptocurrency has big chances to become more valuable in the future that's why it's better to stick using fiat in different transactions.