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by moralsupply 1916 days ago
Quoting the first sentence of the Wikipedia article:

> Fiat money is a currency (a medium of exchange) established as money, often by government regulation.

As for the definition of the word "fiat": https://www.wordnik.com/words/fiat

> An arbitrary order or decree

> Authorization or sanction
1 comments
danShumway 1916 days ago
And the second and third sentence (emphasis mine):

> Fiat money does not have intrinsic value and does not have use value (inherent utility, such as a cow or beaver pelt might have). It has value only because a government maintains its value, or because parties engaging in exchange agree on its value.

Is there a sentence in this Wikipedia article you can point to that implies that only a government can create a fiat currency?

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moralsupply 1916 days ago
A mafia or some other organization capable of enforcing rules over people could create a fiat currency too.
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danShumway 1916 days ago
Again, what can you point to saying that's the definition of a fiat currency? This Wikipedia article does not mention a mafia. It mentions:

> parties engaging in exchange agree on its value

That's Bitcoin. That's what Bitcoin is.

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o_p 1916 days ago
Then any currency would be fiat making the word meaningless. Bitcoin haves an intrisic value like gold, the energy it takes to create a btc. Fiat money can be made out of thin air as the fed can just print more money
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danShumway 1916 days ago
> the energy it takes to create a btc

Sounds good. How do I convert my bitcoin back into electricity? Is there a Python function for that or something? Would be very useful to have on hand during blackouts.

I mean, that's the whole point of the article we're commenting under. Bitcoin is not a battery, it is a sink. You can't get the electricity back.

Not to mention that if the value of Bitcoin was actually determined by its electricity cost, then Bitcoin and Etherium wouldn't be making moves right now towards Proof of Stake.

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moralsupply 1916 days ago
Go ahead and call Bitcoin a "fiat currency" if that suits your narrative.

Don't be surprised if some people laugh at your face, though.

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