How Fiat Will Always Be The Norm

[SirLancelot]

The use of fiat cannot be replaced nor vanished by any means of financial system not even cryptocurrency because whether we like it or not any new development on financial system or maybe another new digital finance comes up at the end of the day if it would be adopted and accepted globally it would only be part of the financial system circulating around the global economy. The way of living of every person in the world is not the same and that only means there would be some or many people left behind and vanishing fiat will worst the situation of those people struggling in life.

There is no need for fiat to be gone though, I mean I get that crypto is a currency and people think that the end game is to have bitcoin as the number one currency everywhere and all the people of the world stop using fiat and start using bitcoin as a currency. But that is an unrealistic and actually not even needed level.

What we need to really achieve instead is to have bitcoin as an alternative to fiat of the world, whatever we are using in our nation if bitcoin is the alternative to it then it’s great. If you are in the USA then use dollars mainly but bitcoin should be second, if you are in Europe then euro and then bitcoin, in UK it's pounds then bitcoin so forth so forth. That would be the ideal and achievable place.

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[freedomgo]

fiat looks ordinary to those who don't care about the existence of crypto. they think crypto is the same as stocks, so it doesn't interfere with fiat. especially in areas where life is still primitive, which is still lagging behind in technology and only uses fiat as a transaction tool in their country of course fiat will run normally. For those of us who already know the benefits of crypto, of course, we no longer prioritize fiat. we only use fiat to buy goods or daily bills. the rest prefer to invest in crypto.

Aside from those people who don't give any care on the existence of cryptocurrency, there are also people around the world that don't even know what is a cryptocurrency or they haven't met that word before and people like that usually lives in 3rd world countries or beyond that who only knows about fiat and nothing else. They cannot even afford to buy phones to keep up with the technology advancement of the world. How would they keep up if they cannot even afford to eat a full meal 3x a day.

That is why we are lucky to know about this existence and we should not be selfish about this knowledge, also it is ideal that we have to keep those people informed so that they can also avoid the inflation and carry the will of SN.

[KaliLinux]

The use of fiat cannot be replaced nor vanished by any means of financial system not even cryptocurrency because whether we like it or not any new development on financial system or maybe another new digital finance comes up at the end of the day if it would be adopted and accepted globally it would only be part of the financial system circulating around the global economy. The way of living of every person in the world is not the same and that only means there would be some or many people left behind and vanishing fiat will worst the situation of those people struggling in life.

There is no need for fiat to be gone though, I mean I get that crypto is a currency and people think that the end game is to have bitcoin as the number one currency everywhere and all the people of the world stop using fiat and start using bitcoin as a currency. But that is an unrealistic and actually not even needed level.

What we need to really achieve instead is to have bitcoin as an alternative to fiat of the world, whatever we are using in our nation if bitcoin is the alternative to it then it’s great. If you are in the USA then use dollars mainly but bitcoin should be second, if you are in Europe then euro and then bitcoin, in UK it's pounds then bitcoin so forth so forth. That would be the ideal and achievable place.

I do agree with your opinion and have been mine on some other similar topics in this space. I don't think that fiat should and will be totally eliminated from the system, one because I don't think the Government will allow that. Imagine the US Government forgetting the USDollar for Bitcoin Also, how many of our regular day-to-day stores are actually willing to accept Bitcoin when they know we can have several volatility levels a day.
As you said, the bast is to be there side by side and users can choose between what is convenient for them which I think will be the case anyways.

[bakasabo]

Only after several decades pass fiat money can be substituted by something else. People are used to pay in cash or by currency. Several decade of government must have changed first, to start a process of digitalization or changing payment to one single currency. People are familiar now with cryptocurrency, but reputational work must be done with cryptocurrency, before we start to get rid of fiat. Believe in cryptocurrency is still weak. To many people still think that cryptocurrency comes closely with scam and money laundering. And that is why they will always support fiat.

[Waddle]

Cryptocurrencies are not accepted legally in most parts of the world. Even if they get accepted worldwide, it will take decades for them to reach everyone and getting used to using them is a far cry. Moreover, not all people will be able to trust cryptocurrencies. They will always prefer fiat over it.

[TheNineClub]

How Fiat Will Always Be The Norm

How Fiat Will Always Be The Norm


With all the ongoing growth with cryptocurrency has created many different avenues of direction in many ways. It does create more control for the people of their money but this is only successful when someone educates themselves on this system.

However, the majority of the population are not willing to do this and still only see FIAT as the main money system.  If they hear about Bitcoin, is only seen as a store of value or a like a stock to get more fiat.

Also the media, corporations and governments are still successful in making everyone use FIAT regardless of the inflation that is happening. Come to think on it, people do not see that fiat is the cause of inflation at all.

More and more inflation is happening with more money being printed all the time. Yet people still demand more services from the government which creates more money to be printed and more inflation.

Yet people do not see this as a problem at all, since the demand for specific services keeps increasing.

Many people just do not understand that they are encouraging inflation. All these factors play in the role that fiat is here to stay. People just don’t see the problems of fiat nor able to see the benefits of crypto.

This will be for sure a spiral down to something really bad in the next while. What type of solutions are there to fix this problem?

I wouldn't coment on fixes for the issue as I think it's way to complex than just a one size fits all solution. But what I do think is that we don't think of FIAT as ALWAYS being the norm. Us being unable to imagine other avenues, that thoes not mean other oprions won't become the norme down the line. I don't subscribe to the whole Francis Fukuyama narative of this being 'the end of history' in a sense that this is the pinnacle of evolution with everything and that this is as good as it gets.

[peter0425]

Cryptocurrencies are not accepted legally in most parts of the world.

wrong . maybe you should have said that it is not banned , but it is not illegal as well.

Even if they get accepted worldwide, it will take decades for them to reach everyone and getting used to using them is a far cry.

what? will took decades? did you understand that Bitcoin is just 12 years old but the world  already Knew about the coin? so how come that there is decades more?

Moreover, not all people will be able to trust cryptocurrencies. They will always prefer fiat over it.

That is what thinking from low minded people, because most of us are aware of how crypto will provide and what fiat cannot .

[Yamifoud]

With all the ongoing growth with cryptocurrency has created many different avenues of direction in many ways. It does create more control for the people of their money but this is only successful when someone educates themselves on this system.

However, the majority of the population are not willing to do this and still only see FIAT as the main money system.  If they hear about Bitcoin, is only seen as a store of value or a like a stock to get more fiat.

Despite the widespread and continuous growth of crypto, people still appreciate the use of fiat than digital currencies, and this is why...

 - FIAT is accepted in all establishments - where they can use anywhere, unlike digital currencies
 -Security - Holding crypto consists of high-risk, many can't afford to do it
 - Education - Many are still no-how about crypto and not all were able to understand the purpose of its existence

Some may invest in crypto because they already understand how the market works and they know how to manage risk.

[Vatimins]

fiat looks ordinary to those who don't care about the existence of crypto. they think crypto is the same as stocks, so it doesn't interfere with fiat. especially in areas where life is still primitive, which is still lagging behind in technology and only uses fiat as a transaction tool in their country of course fiat will run normally. For those of us who already know the benefits of crypto, of course, we no longer prioritize fiat. we only use fiat to buy goods or daily bills. the rest prefer to invest in crypto.

     Even the people that know crypto currencies or are pro crypto currencies are still going hold onto fiat because as you mentioned, we use fiat to buy goods or daily bills. Talking about priorities then for sure, crypto would be one of the most prioritized for crypto enthusiasts. The thing is that we are talking about fiat being the norm and why it would always be that way. On a broader sense though, we can only say for sure for the near future but not in the far far future because given the right circumstances, people will always choose the thing that gives most benefits and those conditions may be met in the far future.

[masterrex]

It's obvious that fiat currency is always the norm because it was issued and guaranteed by the state, and cryptocurrencies cannot replace it that's the fact even the price of Bitcoin and other major cryptocurrencies was calculated in fiat US$ so why do we force this idea that cryptocurrencies can replace fiat we must accept the fact that cryptocurrencies are here only as an alternative tool of innovation to empower the financial needs of the people in our time crypto and fiat will exist in harmony as long as the centralized government of every nation is functioning. unless the government will totally ban it as China does. 

[Vaskiy]

Even the people who are hard users of cryptocurrency prioritise cryptocurrency as an investment and for retirement. Very few among the cryptocurrency holders use it as fiat on day to day needs. The stores around the world with cryptocurrency acceptance is very limited and is accumulated on specific regions. This also makes people use fiat as the norm, though the inflation of fiat money keeps rising.

The price fluctuation of bitcoin is the major reason why bitcoin isn't preferred against the fiat. For example today we buy a product for 0.1BTC and the same will be down or up tomorrow. This is also a reason why people don't prefer bitcoin on daily needs similar to fiat.

[qwertyup23]

fiat looks ordinary to those who don't care about the existence of crypto. they think crypto is the same as stocks, so it doesn't interfere with fiat. especially in areas where life is still primitive, which is still lagging behind in technology and only uses fiat as a transaction tool in their country of course fiat will run normally. For those of us who already know the benefits of crypto, of course, we no longer prioritize fiat. we only use fiat to buy goods or daily bills. the rest prefer to invest in crypto.

Fiat will always be the norm until the world adopts cryptocurrencies as the new way of transacting for our day-to-day obligations. The question is, why cannot we just say that both cryptocurrencies and fiat co-exist with each other?

The transaction of fiat has been around since time immemorial. This standardized the method of having a universal currency where all countries can accept and adopt as the norm for purchasing products/services. Unfortunately, cryptocurrencies are inflationary in their nature- it is like saying that gold should be the currency that should be adopted when its production is based on the fact that it is limited.

[Synchronice]

How Fiat Will Always Be The Norm

Imagine, you need back surgery and you know that this surgery costs $100,000 and let's assume you already have that money in your bank account. One month has passed and the time has come to get the surgery procedure done. If fiat wasn't stable, you wouldn't be calm for 30 days. If fiat was as volatile as Bitcoin, you would may have enough money for one day but not for another day. Fiat gets inflated but it's not that volatile to affect you day-to-day, it's inflated but the rate is still very stable and it doesn't change overnight.

With all the ongoing growth with cryptocurrency has created many different avenues of direction in many ways. It does create more control for the people of their money but this is only successful when someone educates themselves on this system.

It creates more control for the people of their money when they own and hold the keys of their cryptocurrency but this is something hardly done by anyone. People usually store and leave their cryptocurrencies on exchanges. This already answers your question about whether people care about more control of their money or not.

This will be for sure a spiral down to something really bad in the next while. What type of solutions are there to fix this problem?

Have you seen anyone from financial institutions go to jail because of economic decline, stunt growth or increased inflation/crisis? No! In the government, no one is punished for their bad work! Let's make it law to punish every appropriate person that's responsible on our welfare and then believe me, no one will ever want to be in the government except real patriots.

[ven7net]

As for the problems associated with fiat money, yes they exist, and moreover, there are more and more of them. However, if we are talking about the need to use cryptocurrencies in exchange for fiat money, then the question arises, how can this be done? Why do most people still think about fiat money? It's simple, because only with fiat money you can go to the store and buy food and other vital goods and services. Here is your answer. Now, if stores with goods necessary for life began to appear and cryptocurrencies were accepted for payment, then it would be a different matter and the mass adoption of crypto in the world would accelerate.

[Quickset]

Cryptocurrencies were created with an aim  of dealing with factors like inflation. They were created to make a way via which people are able to do transactions without completely relying on banks or governments.

[BlackHatCoiner]

It creates more control for the people of their money when they own and hold the keys of their cryptocurrency but this is something hardly done by anyone.

This is not true. The majority chooses to leave cryptos on exchanges, because they don't care about the cryptos at all; they're just buying and selling for profit.

Most of those who use bitcoin for its main purpose, which is paying in cash online, cannot leave their money in centralized exchanges as it circumvents the most significant principle; self-custody. Furthermore, lots have switched to buying and selling using a decentralized exchange, instead.

[davis196]

Also the media, corporations and governments are still successful in making everyone use FIAT regardless of the inflation that is happening. Come to think on it, people do not see that fiat is the cause of inflation at all.

Fiat money are the legal tender in all countries around the world.The people and the companies are required by the law to use fiat money in their transactions(and to pay taxes).It's not about having a choice of which payment method to use or something.

More and more inflation is happening with more money being printed all the time. Yet people still demand more services from the government which creates more money to be printed and more inflation.

You are generalizing too much.I don't know about anyone demanding more government services.
There's nothing wrong with the government wanting to provide more services to the people.
The real problem is the budget deficits and the money printing,which is being encouraged by many governments.

Many people just do not understand that they are encouraging inflation. All these factors play in the role that fiat is here to stay. People just don’t see the problems of fiat nor able to see the benefits of crypto.

Nobody is encouraging inflation.The people simply have no choice,but to use fiat money.
I don't see cryptocurrencies as a 100% protection against inflation.
Inflation in my country is 12.5% and going up,but the Bitcoin price stays at 40K USD and it isn't moving anywhere.The same thing applies to all the altcoins.Do you think that this actual protection against inflation?

[Henrobakkara]

It creates more control for the people of their money when they own and hold the keys of their cryptocurrency but this is something hardly done by anyone.

This is not true. The majority chooses to leave cryptos on exchanges, because they don't care about the cryptos at all; they're just buying and selling for profit.

Most of those who use bitcoin for its main purpose, which is paying in cash online, cannot leave their money in centralized exchanges as it circumvents the most significant principle; self-custody. Furthermore, lots have switched to buying and selling using a decentralized exchange, instead.

I do agree with you here but the question still remains, how many even if not our daily regular needs store accepts Bitcoin? people will still result for paying or using Fiat currency and from your statement, most Bitcoin investors see it as a profit-making avenue, including the now many institutional investors like the Wall street Boys who are quick to dump any time there is some sort of FED news because they are treating Bitcoin like stocks now.

[Flexystar]

This is all part of money management, financial year GDP, how country is doing economically and fundamentally. Government needs to print money to fulfil common man’s terms and benefits which they promised through different contracts, government schemes and much more. They have to look after hundreds and thousands of problems throughout the nation. I don’t think direct blame shall be put on the shoulder of government. Because as far as economics is considered huge number of people do not even pay their taxes. So inflationary situation is just mixed up stuff from us, from government etc.

[tygeade]

Aside from those people who don't give any care on the existence of cryptocurrency, there are also people around the world that don't even know what is a cryptocurrency or they haven't met that word before and people like that usually lives in 3rd world countries or beyond that who only knows about fiat and nothing else. They cannot even afford to buy phones to keep up with the technology advancement of the world. How would they keep up if they cannot even afford to eat a full meal 3x a day.

That is why we are lucky to know about this existence and we should not be selfish about this knowledge, also it is ideal that we have to keep those people informed so that they can also avoid the inflation and carry the will of SN.

I am sure that the amount of people who do not know what a cryptocurrency is, not even heard of it or anything like that is not really a big percentage of the world. I agree that the amount of users could be low compared to anything else, but the amount that didn't even hear about it could be very low.

Even in the small isolated tribes people have heard about crypto at this stage, there is a big difference between users and people who heard of it though. Just because 90%+ knows about it, doesn't mean 90%+ uses it, maybe like 90%+ heard about it but 10%+ ever bought it. That difference could get closer and closer eventually which would help us.