Is Bitcoin better than Fiat?

[aesma]

I find the Deutsche Bank graph strange. It talks about fiat "in circulation" and BTC "in circulation". But all Bitcoins aren't "in circulation", just like other fiat currencies, a lot of which is stored on bank accounts, central banks, etc.

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[Abiky]

Some readings of articles always take into account that the FIAT money is backed in Gold, but I think that it is not like that, in case it is totally valid, there would be no inflation rates at least in the dollar, because all over the world there is talk about inflation even in the US, knowing that there is a total hegemony of the dollar after the Second World War, the dominance has been clear from that moment until now.

When talking about bitcoin, many governments and banks have their stance on the crypto asset, in fact some are more Pro-Bitcoin than others.
According Deutsche Bank:

“Bitcoin is too important to ignore, noting that it is now the third-largest currency in terms of the total value in circulation.”

...

Everything I think has a conclusion where Bitcoin has a limited supply, FIAT money does not, the fact of having a limited supply creates a totally deflationary economy, even though it does not have any support based on gold, or any other similar.

Fiat is backed by debt nowadays, subject to the negative effects of inflation over the long term. When Fiat was backed by Gold, people used to have greater spending power. Now, it's all the contrary since your money becomes worthless as time goes by. That's not the case with Bitcoin. We could say that the pioneer cryptocurrency resembles Gold since its supply is extremely limited. A deflationary model should make Bitcoin much more valuable in the long run. This gives people greater spending power in terms of Fiat. The only issue would be having to deal with Bitcoin's price volatility in the short term.

Nonetheless, I believe that Bitcoin has more benefits than Fiat itself. Yet, most people use Fiat because it's the standard type of currency for debts public and private. It's backed by the government, so this gives Fiat a greater degree of credibility/trust than Bitcoin itself. A person can decide to use Fiat on top of Bitcoin or both for his/her own benefit. As long as the cryptocurrency remains decentralized, nothing else matters. Just my thoughts

[X7]

It has more function, so yes.

[AndySt]

Fiat is backed by debt nowadays, subject to the negative effects of inflation over the long term. When Fiat was backed by Gold, people used to have greater spending power. Now, it's all the contrary since your money becomes worthless as time goes by. That's not the case with Bitcoin. We could say that the pioneer cryptocurrency resembles Gold since its supply is extremely limited. A deflationary model should make Bitcoin much more valuable in the long run. This gives people greater spending power in terms of Fiat. The only issue would be having to deal with Bitcoin's price volatility in the short term.
Nonetheless, I believe that Bitcoin has more benefits than Fiat itself. Yet, most people use Fiat because it's the standard type of currency for debts public and private. It's backed by the government, so this gives Fiat a greater degree of credibility/trust than Bitcoin itself. A person can decide to use Fiat on top of Bitcoin or both for his/her own benefit. As long as the cryptocurrency remains decentralized, nothing else matters. Just my thoughts

Debt and high inflation are a completely different story and the fiat currency is not the root cause of this. Each instrument can be used for different purposes and with different efficiency, and the fiat currency is undoubtedly an instrument in the economic policy of any state. The deflationary model shows itself well when exiting crisis situations, but the inflationary model is more suitable for stimulating economic activity. Another issue is that there are limits to the use of the inflationary model, and national governments are often too keen on this, devaluing the savings of citizens. Bitcoin, thanks to its deflationary model, seems to be better about this, but the problem is that bitcoin is purely ideologically not secured by anything and focuses only on supply and demand, unlike fiat currencies, which are backed by a state mechanism. Therefore, it is necessary to approach loud statements with caution and take into account that bitcoin can cost a lot, but also not cost anything.

[iTradeChips]

If you are going to ask me both fiat and bitcoins are useful tools in our quest for financial freedom. One is widely accepted in the world economy and the other one is a niche asset, in my opinion. Niche because not many of us commoners know about Bitcoin and cryptocurrency in general, and most of the players in crypto are the ones who know about it or the rich ones who has the money to invest. Countries are somewhat not shy in preventing Bitcoin mainstream acceptance, but one does hope that it will be the case in a few years.

[amihada]

for me bitcoin is getting more advanced everyone who has a lot of money buy bitcoin for their investment in the long run this proves bitcoin is getting more advanced than fiat

[mediaBuzz]

Another advantage of digital currencies is that they cannot be falsified You cannot generate fake bitcoins.

[ilovealtcoins]

Bitcoin is not just currency, Bitcoin is also a store of value. Bitcoin's supply is limited and the rarity increases over time.. So holding Bitcoin has the risk of changing in value.Bitcoin helps people manage their own money, away from banks and complex legal barriers. Bitcoin holders have a right to privacy with their funds. Because of the above reasons, Bitcoin is a preeminent currency.

[bounceback]

I cannot say that currently bitcoin is better than fiat or vice versa, because we also know that bitcoin and fiat are definitely not made without purpose, both are assets that have exchange value and also have important roles, such as being used for transactions and as investment goods. so I think both are equally good depending on our usage.

[imstillthebest]

for me bitcoin is getting more advanced everyone who has a lot of money buy bitcoin for their investment in the long run this proves bitcoin is getting more advanced than fiat

not only people with lots of money can buy bitcoin but any people that have any amounts with them can buy a bitcoin .
 they buy btc because this what btc meant for , for purchasing  but they cant buy a fiat when they already have a fiat although they can convert thier btc to fiat if they want to cash out . btc is getting more advanced in terms of its value but its a misconception that only advanced people (rich people ) can afford it

[jerrison]

Anyday, anytime, I will always prefer cryptocurrency in the nature of Bitcoin that i would consider anykind of fiat. The singular fact that the regular fiat is an inflationary instrument gives me enough reason to worry about the future of finance but the Bitcoin changed the narative and then we started seeing bitcoin increase.

[Twentyonepaylots]

Bitcoin shows great potential in revolutionizing the otherwise hopeless scenario of the fiat world. Capitalism taking over, big companies fighting over the control for people, unlivable wages and living conditions more dreadful than what's brewing in your sewage system, all of this is something that can be solved by a much more systematic currency that gives the purchasing power to the people, and not entirely to the corporations. Good thing bitcoin is just the perfect guy for the job.

[Abiky]

Bitcoin is not just currency, Bitcoin is also a store of value. Bitcoin's supply is limited and the rarity increases over time.. So holding Bitcoin has the risk of changing in value.Bitcoin helps people manage their own money, away from banks and complex legal barriers. Bitcoin holders have a right to privacy with their funds. Because of the above reasons, Bitcoin is a preeminent currency.

Yes. Bitcoin is a "multi-purpose" financial tool for those who need it the most. I believe it's better than Fiat, because you can do so many things with Bitcoin limited to your own imagination. A decentralized, programmable money makes wonders to those seeking true, financial freedom. In times of need, you can rely on Bitcoin without fear of censorship from governments or other third parties. No middleman, means full control of your money. It's true financial sovereignty where people can take control of their lives for the first time in history. You won't get this with Fiat as it's subject to the manipulation of central banks and governments alike. Any transaction deemed suspicious by these entities could make you lose access to your account in an instant. With Bitcoin, there are no such limitations as you are your own bank. The only downside is that you can't use Bitcoin everywhere since merchant adoption is limited. As long as this is the case, Fiat will prove to be the winner for everyday payments.

Nonetheless, both types of currencies have their respective advantages/disadvantages. Choosing one from the other depends on your specific needs. Regardless of what happens in the future, Bitcoin will survive because of its decentralized and censorship-resistant design. Fiat won't be going anywhere soon, since it'll adapt to the latest trends in technology. With CBDCs soon to become a reality, one would envision a future where both currencies co-exist for many generations. Just my thoughts

[anti-dot]

Anyday, anytime, I will always prefer cryptocurrency in the nature of Bitcoin that i would consider anykind of fiat. The singular fact that the regular fiat is an inflationary instrument gives me enough reason to worry about the future of finance but the Bitcoin changed the narative and then we started seeing bitcoin increase.

How can you say that? Whether we like it or not but for now Bitcoin is not good enough to be used on a daily basis. For the average person it may also not be the best store of value yet as it is too volatile. It has the potential to become the best in many aspects though.

[kawetsriyanto]

Is Bitcoin better than Fiat?

I agree if there are many advantages of Bitcoin. But to claim Bitcoin is better than fiat, is still too early.
Actually, we need both fiat and Bitcoin, the combination of these currencies may make a better world's financial system. So, fundamentally, we don't need to compare these currencies and decide which one is better. I think both have their own advantages.

[xiboothrezi]

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What do you think? Is Bitcoin better than Fiat? If not, why? Is it still too early to tell? Your input will be greatly appreciated. Thanks in advance

in this case we have to use a broad perspective. In terms of technology and problem solving, bitcoin is arguably better than fiat. all the reasons have been explained by op.
on the other hand, its decentralized nature makes many countries limit the activities of their citizens in engaging with bitcoin. This is in anticipation of the misuse of BTC as a criminal tool, because the government cannot fully control it. well, we all should know too, this stuff is very relative, not the bad btc, but the users who abuse it.
human resources are also not fully able to accept this technological development, so after all fiat is still very much needed. btc will just be a good alternative at this point.

[Henrobakkara]

If you are going to ask me both fiat and bitcoins are useful tools in our quest for financial freedom. One is widely accepted in the world economy and the other one is a niche asset, in my opinion. Niche because not many of us commoners know about Bitcoin and cryptocurrency in general, and most of the players in crypto are the ones who know about it or the rich ones who has the money to invest. Countries are somewhat not shy in preventing Bitcoin mainstream acceptance, but one does hope that it will be the case in a few years.

I do believe what you said just for the Highlighted fact. I have also mentioned this somewhere to and I believe the knowledge of Bitcoin or cryptocurrency in general is still limited within some group of people or community and this have limited the power it could have but until Bitcoin has is like 70-80% global adoption which again is a long way off, Fiat will continue to dominate the financial circle even though Bitcoin do perform similarly or even better in some instances.

[Obito]

I agree if there are many advantages of Bitcoin. But to claim Bitcoin is better than fiat, is still too early.
Actually, we need both fiat and Bitcoin, the combination of these currencies may make a better world's financial system. So, fundamentally, we don't need to compare these currencies and decide which one is better. I think both have their own advantages.

Not to mention that bitcoin is closely tied to fiat and satoshi's goal wasn't to replace but to put an alternative. I can't fully enjoy my crypto profits if it isn't tied with fiat with a bigger portion of businesses not yet adopting bitcoin as an option for payment.

[geegaw]

fiat currency and bitcoin are just as good in my opinion, and it also depends on the place,
if used for investment, of course bitcoin is superior to other investments such as gold or buying currency
If bitcoin is used as a transaction tool in everyday life, I don't think it is suitable because there are still many people who are unfamiliar with technology, but if it is used as an alternative to fiat money I think it is suitable

This technology is not a product originating from the government, wanting people to have a friendliness with it is not easy, very few stores can accept this technology due to the lack of government license. Plus, the currency's exchange rate doesn't seem fair, small products won't feel that much but for big products this is significant, iIn the face of such nature, bitcoin belongs only to investment, here its potential will be used by everyone in the maximum possible way, compared to fiat in terms of community and inclusion, it's still pretty poor

[hitsnorth]

It's different. It has it's flaws and goods. Crypto has a great chances to replace fiat in future but it's not going to happen soon.