Topic: News at 11: BITCOIN IS FIAT MONEY TOO. (Read 169 times)
Bitcoin is pure mathematics and the magic of large numbers. We add to this the knowledge of cryptography - and we get a practically invulnerable currency for burglaries.
bitcoin is not yet fiat , before this can happen a number of issues must be brought to bear chief among which is the backing of government, this is critical as this is the only thing that will separate it from dirt , there must be a government or group of governments to offer some sort of security, that is, on which a claim can be made should such a situation arise. it means that should i go to Jamaica and im payed in bitcoins and i cant find anywhere in Jamaica to cash it i should be able to take it to its owner(government) so i can exchange it into cash. currently this does not exist and as such it is not fiat yet , if it makes you feel better it isn't a commodity eighter. its a game changing revolution that's what it is.
Can I exchange bitcoins for real money? Absolutely. To do this, it is sufficient to use any exchange service. The leading player in this market is the MtGox exchange
I am reading all the time about "do not go back to fiat" "fiat blah"... seems like people do not understand that bitcoin if it were a currency it would be as well fiat money.
Bitcoin IS fiat.
https://www.investopedia.com/terms/f/fiatmoney.asp
Another definition for those not clicking on the link:
Fiat money is a currency without intrinsic value that has been established as money, often by government regulation. ... Commodity money is created from a good, often a precious metal such as gold or silver, which has uses other than as a medium of exchange (such a good is called a commodity).
Bitcoin IS fiat.
https://www.investopedia.com/terms/f/fiatmoney.asp
Another definition for those not clicking on the link:
Fiat money is a currency without intrinsic value that has been established as money, often by government regulation. ... Commodity money is created from a good, often a precious metal such as gold or silver, which has uses other than as a medium of exchange (such a good is called a commodity).
you seems to be wrong. bitcoin is not fiat because it is decentralized. Not fully regulated by government.
bitcoin and other cryptocurrency not controlled by bank system, they are decentralized, unlike money.
bitcoin is not yet fiat because the government cannot control bitcoin or other company or other people but fiat can be a fiat if every government accepted bitcoin as a new currency. they need to integrate their system which is still in the traditional system into the blockchain but they still cannot control bitcoin. maybe they can control bitcoin for applying a tax or something like that to the people which own bitcoin but they cannot control blockchain, they only have control of their own system.
I am reading all the time about "do not go back to fiat" "fiat blah"... seems like people do not understand that bitcoin if it were a currency it would be as well fiat money.
Bitcoin IS fiat.
https://www.investopedia.com/terms/f/fiatmoney.asp
Another definition for those not clicking on the link:
Fiat money is a currency without intrinsic value that has been established as money, often by government regulation. ... Commodity money is created from a good, often a precious metal such as gold or silver, which has uses other than as a medium of exchange (such a good is called a commodity).
Bitcoin IS fiat.
https://www.investopedia.com/terms/f/fiatmoney.asp
Another definition for those not clicking on the link:
Fiat money is a currency without intrinsic value that has been established as money, often by government regulation. ... Commodity money is created from a good, often a precious metal such as gold or silver, which has uses other than as a medium of exchange (such a good is called a commodity).
you seems to be wrong. bitcoin is not fiat because it is decentralized. Not fully regulated by government.
bitcoin and other cryptocurrency not controlled by bank system, they are decentralized, unlike money.
I think bitcoin is not fiat, because the value of fiat currency is often related to government rules, so the fiat of currency is received in the country and become a currency symbol of a country.
and now, bitcoin is not a fiat, unless a country regulates and adopts bitcoin into the legal currency for a transaction to be used.
and now, bitcoin is not a fiat, unless a country regulates and adopts bitcoin into the legal currency for a transaction to be used.
I know that a money is considered fiat if it is recognized or declared as legal tender by a government. But bitcoin is decentralized meaning no one owns it or should govern it so it should not be considered fiat .
I don't know much about economics but with the sharp fluctuation in exchange rate (BTC->USD), this doesn't fit with the definition of FIAT.
Even if what you were saying is true, what's the point in playing semantics?
All people want to point at when comparing Bitcoin to fiat is that Bitcoin isn't controlled by any single entity, while fiat is, and the implications of such. I don't think the fine print matters; the definition could be the same in its purest sense (relying on trust, etc.), but the fact is that they work differently in real-world usage.
All people want to point at when comparing Bitcoin to fiat is that Bitcoin isn't controlled by any single entity, while fiat is, and the implications of such. I don't think the fine print matters; the definition could be the same in its purest sense (relying on trust, etc.), but the fact is that they work differently in real-world usage.
People try to play semantics because they're trying to discredit Bitcoin, because they know if they're able to put bitcoin on the same level as other normal FIAT currencies (and convince people of such) then they've achieved their goal and everyone is going to move on from bitcoin and go back to what they were originally using, which is FIAT MONEY.
Fiat is backed up by the Government/Country.
...while Bitcoin isn't. Again, that's basically what everyone is trying to get at when comparing the two of them. I'm not commenting on whether that's good or bad, or even if your definition is correct.
All I want to know is whether there is a point in playing with the semantics.
It is both good and bad in my opinion. It is good because this is one of reasons behind the huge growth in prices over the last few years and also behind common people being able to make good returns with this investment option. If it was controlled by governments, rich and powerful were the ones benefiting the most from this.
It is bad because it results in some manipulation as well. This is also being done by group of wealthy people and only government has the required resources and power to stop this.
Fiat is backed up by the Government/Country.
...while Bitcoin isn't. Again, that's basically what everyone is trying to get at when comparing the two of them. I'm not commenting on whether that's good or bad, or even if your definition is correct.
All I want to know is whether there is a point in playing with the semantics.
Sure, but the point is that I also said IF BITCOIN WERE as currency, which is NOT.
Well, bitcoin is made to be a currency, though it currently isn't treated that way that much(currently more of an investment). But still, in my opinion it fits well with the definition of a currency. Though definitions vary.
"Currency is a generally accepted form of money, including coins and paper notes, which is issued by a government and circulated within an economy. Used as a medium of exchange for goods and services, currency is the basis for trade.
Some currencies, like cryptocurrencies, bitcoin, dogecoin and other online currencies and branded currencies are not tied to any country." -https://www.investopedia.com/terms/c/currency.asp
Even if what you were saying is true, what's the point in playing semantics?
All people want to point at when comparing Bitcoin to fiat is that Bitcoin isn't controlled by any single entity, while fiat is, and the implications of such. I don't think the fine print matters; the definition could be the same in its purest sense (relying on trust, etc.), but the fact is that they work differently in real-world usage.
All people want to point at when comparing Bitcoin to fiat is that Bitcoin isn't controlled by any single entity, while fiat is, and the implications of such. I don't think the fine print matters; the definition could be the same in its purest sense (relying on trust, etc.), but the fact is that they work differently in real-world usage.
Nopes, you are confusing CONTROL with SUPPORT. Fiat is backed up by the Government/Country. Perhaps is controlled too and that we can argue but it is not necessarily a bad thing.
(Also well... with LN and all the miners and whales... I´d say there are a few players that control Bitcoin. Also I read most of the coins are owned by few individuals... but again, all that we can argue.)
Even if what you were saying is true, what's the point in playing semantics?
All people want to point at when comparing Bitcoin to fiat is that Bitcoin isn't controlled by any single entity, while fiat is, and the implications of such. I don't think the fine print matters; the definition could be the same in its purest sense (relying on trust, etc.), but the fact is that they work differently in real-world usage.
All people want to point at when comparing Bitcoin to fiat is that Bitcoin isn't controlled by any single entity, while fiat is, and the implications of such. I don't think the fine print matters; the definition could be the same in its purest sense (relying on trust, etc.), but the fact is that they work differently in real-world usage.
Sure, but the point is that I also said IF BITCOIN WERE as currency, which is NOT.
Furthermore, that is a good point for actual fiat, whereas for Bitcoin is backed by NOTHING, but trust and the agreement of the "early adopters" which will never stop indoctrinating and spreading FOMO for their own interest while they put graphics of the Bitcoin value in dollars.
Because fiat money is not linked to physical reserves, it risks becoming worthless due to hyperinflation. If people lose faith in a nation's paper currency, like the U.S. dollar bill, the money will no longer hold any value.
Applies to most currencies,even if we include bitcoin.
Furthermore, that is a good point for actual fiat, whereas for Bitcoin is backed by NOTHING, but trust and the agreement of the "early adopters" which will never stop indoctrinating and spreading FOMO for their own interest while they put graphics of the Bitcoin value in dollars.
Because fiat money is not linked to physical reserves, it risks becoming worthless due to hyperinflation. If people lose faith in a nation's paper currency, like the U.S. dollar bill, the money will no longer hold any value.
Applies to most currencies,even if we include bitcoin.
From the investopedia link you posted:
Fiat money is currency that a government has declared to be legal tender, but it is not backed by a physical commodity. Bitcoin isn't backed by the government.
Fiat money is currency that a government has declared to be legal tender, but it is not backed by a physical commodity. Bitcoin isn't backed by the government.
I am reading all the time about "do not go back to fiat" "fiat blah"... seems like people do not understand that bitcoin if it were a currency it would be as well fiat money.
Bitcoin IS fiat.
https://www.investopedia.com/terms/f/fiatmoney.asp
Another definition for those not clicking on the link:
Fiat money is a currency without intrinsic value that has been established as money, often by government regulation. ... Commodity money is created from a good, often a precious metal such as gold or silver, which has uses other than as a medium of exchange (such a good is called a commodity).
Bitcoin IS fiat.
https://www.investopedia.com/terms/f/fiatmoney.asp
Another definition for those not clicking on the link:
Fiat money is a currency without intrinsic value that has been established as money, often by government regulation. ... Commodity money is created from a good, often a precious metal such as gold or silver, which has uses other than as a medium of exchange (such a good is called a commodity).
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