Fiat

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Fiat

Definition:

A term for traditional money issued by nation states in modern times which is backed by neither gold, silver nor any other item and has no intrinsic value other than the authority of the state. The word FIAT comes from the Latin “Let it be done” and means that the currency’s value is derived solely from state or royal decree. The US dollar and most other currencies are FIAT currencies. It is often used to draw a contrast between such paper currencies and cryptocurrencies such as Bitcoin that are backed by proof of work or other currencies that may be backed by the mining or storage of precious metals like gold or silver.

Degen Chat

Degen 1: “Bitcoin is up 10,000% in the last 3 years. Are you going to sell?”

Degen 2: “Sell to what… FIAT? Are you crazy? Have you listened to nothing Michael Saylor has said?”

Related Terms:
  • Dictionary: Burn
    Coins or tokens that are sent to a wrong address are considered "burned" which means they are gone forever and no longer usable. It is the equivalent of literally burning fiat bank notes a la KLF. This can be done accidentally, though is sometimes done deliberately to artificially decrease the supply and make the remaining coins more valuable. Some NFT transactions involve burning, for example some "breeding" mechanisms involve burning two NFTs to create a new one.
  • Dictionary: Nocoiner
    A nocoiner is someone who holds no crypto currency, and probably never will. They cry ‘Ponzi’ whenever asked and have full faith in the current fiat system. They may even own a gold bar as a hedge against inflation. Just do not introduce them to @Michael Saylor
  • Dictionary: Normie
    Someone who lives a normal standard life as a productive member of society. They don’t own crypto, they don’t value fungibility and are a slave to their local fiat currency. They have never posted a Pepe meme and will never moon in life.
  • Dictionary: Token
    A token is a digital asset that appears on its own blockchain. It can be bought, sold and traded like fiat currencies, and can represent either digital or physical assets. Token can also be used to interact with a dApp, which makes life for gamers, shoppers and the whole Web3 world more convenient due to their utility. The term coin is usually used to describe an asset on its own native blockchain e.g. BTC is used and Bitcoin and ETH is used on Ethereum. A token on the other hand usually refers to an asset that can reside on another chain e.g. there are thousands of tokens on the Ethereum chain.


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