What is Fiat Currency?

Currency without intrinsic value that has been established by government regulation for circulation. The value of the currency is maintained by the government or by the market agreeing on its value. This is opposed to commodity money or representative money, which are usually based on the value of a precious metal.

What people ask…

Is the US dollar a fiat money?
What does Fiat stand for in currency?
Is Cryptocurrency a fiat currency?
What is fiat money and fiduciary?

See Also…

Commodity, Commodity Money, Representative Money

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