How important is fiat to Bitcoin?

[jokers10]

1 bitcoin = 1 bitcoin, but 1 bitcoin currently has a high value when exchanged to fiat. I think fiat is very important for bitcoin mainly because bitcoin is traded and has value in fiat, so the two are interrelated and need each other so the bitcoin economy is measured in fiat. Just like gold and other assets, its value will always be measured in fiat and always will be.

With no value in fiat, I never know what a bitcoin is actually worth even though bitcoin was created as a currency. Bitcoin value will differ for one currency or another, and that is how bitcoins have value.

It is not necessary, when you are in US and have $100 in a pocket you can buy directly what you want and don't need to know which is exact rate of USD to Mongolian tögrög. The same about Bitcoin.

We also have a Big Mac Index which is based on an exact product and not on any currency. So if you need to compare Bitcoin with smth to know that it rose in price you can have multiple different indexes, fiat money is not mandatory for that.

[CryptSafe]

Lately, I've seen so many bitcoin holders speak so badly of fiat and how much they wouldn't want to associate themselves with fiat usage if possible, but I took some time to make a little research and from my research, I do observed that Bitcoin usage wouldn't be an easy one without fiat not even in countries where Bitcoin is legalized and my question is,
can Bitcoin be easily used and spent without Fiat?
My answer is No

What's your opinion?
Let's discuss

Fiat is an equivalent measurement of the value of bitcoin in the sense that, fiat expresses the financial value of bitcoin. Without fiat, it would be very hard to get the exact monetary value of bitcoin when it comes to exchange. That's how the system works. Although bitcoin is a store of value which appreciate at any given time based on the market demand but it needs the fiat to quantify it's value for exchange. With fiat, you can purchase your bitcoin irrespective of the value and price tag as long as there is an amount equivalent to your Fiat purchase for bitcoin at that particular moment in time.
Although bitcoin is yet to be accepted in some parts of the world but it's value is immeasurable because it solves lots of problem such as stress, high fee charges from third parties, safety and privacy etc.

[slaman29]

It is not necessary, when you are in US and have $100 in a pocket you can buy directly what you want and don't need to know which is exact rate of USD to Mongolian tögrög. The same about Bitcoin.

We also have a Big Mac Index which is based on an exact product and not on any currency. So if you need to compare Bitcoin with smth to know that it rose in price you can have multiple different indexes, fiat money is not mandatory for that.

Exactly! Although I have to say the Big Mac Index is getting worse as a tool to measure things these days because in some countries (like mine) it is seen as a normal buy but for middle class. I know in India, it is seen as a high end buy for wealthy people. Some people have graduation or birthday parties now in MCDonalds because it is seen as a "expensive" restaurant (and is even classed as restaurants!).

Can of Coca Cola I believe is now the more accurate index

[BlackRexuz]

Fiat is still in everyone's needs, because it is still used by all countries of the world as the official means of payment for countries, fiat may be useless all over the world, if this world has made Bitcoin a digital currency in terms of payments for everyone, but for now,  For now, Fiat is used as a benchmark for prices in their respective countries, so that's why Fiat currency is still needed by many groups.

[so98nn]

I don’t know what’s got into this post but fiat does not mean anything to the bitcoin except one thing, it’s just giving us the way to measure its weightage / cost/ value you name it. It’s simple idea, the way you just say one dollar equals to one dollar. In similar ways if you imagine the world where we only have bitcoin around the globe then who would have thought about bitcoin and fiat pair anyways? We just be saying that bitcoin is equal to one bitcoin and that’s all it need. So for me fiat does not matter much considering you are not selling it for fiat.

[tjtonmoy]

BTC is like having only one language all over the world to communicate. Don't you think that communicating through one language will be so much easy rather than having all these languages scattered throughout the world? One time you are out of your country, you are facing all kind of stuff in order to spend your money.
BTC is a borderless currency. Wherever and whatever you want, you can buy goods with this. Show me one thing about fiat which could top this feature of BTC, and I will never say BTC is better than fiat.

[panganib999]

Fiat and bitcoin go together so well than what most bitcoin visionaries would dare to admit. For instance, fiat is its peg in the outside market, and frankly speaking what represents its value to the people. We wouldn't be investing in bitcoin in the first place if its dollar value remained on the low all these years, or maybe non-existent even. It also is what bitcoin is supposed to support. Bitcoin can take care of the peerless global transactability whilst fiat can take care of the local economy and commerce. So yes, fiat is substantial to bitcoin's success all throughout no matter how many people deny it.
 

[lalabotax]

I don’t know what’s got into this post but fiat does not mean anything to the bitcoin except one thing, it’s just giving us the way to measure its weightage / cost/ value you name it. It’s simple idea, the way you just say one dollar equals to one dollar.

That's it. This becomes the measurement of the value of Bitcoin assets that we have. Additionally, Fiat is also used as the mans of withdrawing after investing in Bitcoin and going to bank account. Actually, if Bitcoin is accepted as legal currency in all the world, this will means that Bitcoin will be much more than fiat. We may not need to directly change from Bitcoin to fiat in order to be able to pay somethings in merchants. Unfortunately, right now, we still cannot use Bitcoin directly in many merchants because most countries still don't legalize Bitcoin as a currency. 

[xzy887]

Fiat is still in everyone's needs, because it is still used by all countries of the world as the official means of payment for countries, fiat may be useless all over the world, if this world has made Bitcoin a digital currency in terms of payments for everyone, but for now,  For now, Fiat is used as a benchmark for prices in their respective countries, so that's why Fiat currency is still needed by many groups.

Not only that, there are still many people who do not know about Bitcoin. People like them have no way out without fiat. Those who know and can use bitcoins may be able to survive without fiat. But when you go to deal with a non bitcoiner he will call you stupid because he doesn't know what bitcoin is so how can you deal with him? Then you will also need Fiat. So now there is a lot of need for Fiat in the country.

[Iranus]

I don’t know what’s got into this post but fiat does not mean anything to the bitcoin except one thing, it’s just giving us the way to measure its weightage / cost/ value you name it. It’s simple idea, the way you just say one dollar equals to one dollar. In similar ways if you imagine the world where we only have bitcoin around the globe then who would have thought about bitcoin and fiat pair anyways? We just be saying that bitcoin is equal to one bitcoin and that’s all it need. So for me fiat does not matter much considering you are not selling it for fiat.

Fiat does not need to be as sublime as bitcoin, but with only one thing, which is to become the world currency, and the value of bitcoin is also measured in fiat, that alone is enough to show the importance of fiat. We are bitcoin investors we all know bitcoin is amazing but the benefits and importance of fiat should not be denied. If you think fiat doesn't matter, why wait for bitcoin to drop to 16k to buy, not buy bitcoin when it's at 70k? Fiat is still important, mate.

[Mr.suevie]

I just feel people are all against fiat just because it's been controlled and regulated by the government.
But the truth be told, there are purchases you would want to make but can't do that no matter how much Bitcoin you posses and your must have to change the money into fiat before such transaction can be completed..

Maybe you are right but that is because fiat is actually the world leading currency and the continues used of it has not eliminated. What would be the case of a country where  bitcoin is accepted by every citizen just the way fiat is,  i dont think you need to change your btc to any fiat currency because you can easily buy you want so far as the person you are buying accept and know if goes to purchase something else with does btc it will accepted too.

Currency use is just base on acceptance in the whole country.

[Lien Uiryen]

People still prefer to pay with fiat currency at the moment. You cannot exchange bitcoins without fiat currency. It is more convenient for us to use legal tender in our daily life. Legal currency is the exchange function for Bitcoin. We don't need to compare the two. Each has its own advantages.

[BlackRexuz]

Fiat is still in everyone's needs, because it is still used by all countries of the world as the official means of payment for countries, fiat may be useless all over the world, if this world has made Bitcoin a digital currency in terms of payments for everyone, but for now,  For now, Fiat is used as a benchmark for prices in their respective countries, so that's why Fiat currency is still needed by many groups.

Not only that, there are still many people who do not know about Bitcoin. People like them have no way out without fiat. Those who know and can use bitcoins may be able to survive without fiat. But when you go to deal with a non bitcoiner he will call you stupid because he doesn't know what bitcoin is so how can you deal with him? Then you will also need Fiat. So now there is a lot of need for Fiat in the country.

This is just an example if Fiat currency is no longer needed, then everyone will be fixated on Bitcoin, even though Fiat currency is a source of needs in all countries, but for now Bitcoin is the priority for entrepreneurs in the field of investment and their future savings, I too  still need fiat currency in terms of necessities of life, so nothing is questioned in this debate, only currently fiat is still the benchmark for bitcoin prices in their respective countries.

[RolonNigel]

How to exchange Bitcoin if you don't have fiat currency. Some countries prohibit the use of cryptocurrencies, restrict Bitcoin, and people can only use legal tender. In terms of payment methods, people usually use legal currency to pay. Most bitcoins are used for investment and storage.

[_BlackStar]

How to exchange Bitcoin if you don't have fiat currency.

Without fiat bitcoin can also be used as currency or a means of payment, that is one of the basic ideas of bitcoin although a number of countries have not legalized it. Find a service that accepts bitcoin as a means of payment, you can transact with them.

Some countries prohibit the use of cryptocurrencies, restrict Bitcoin, and people can only use legal tender. In terms of payment methods, people usually use legal currency to pay. Most bitcoins are used for investment and storage.

When you are prohibited by your country and government from using bitcoin as a means of payment, then that does not necessarily make you unable to do so. Many people spend their bitcoin to pay for something even though it is illegal, however this can be done as long as you and the seller agree ^{[I do not recommend that you do it],} but you can do it secretly.

[Chrlie95]

Fiat currency is still important when it comes to using Bitcoin, but cryptocurrencies like Bitcoin offer a decentralized, secure, and fast way to transfer value. While most merchants don't accept Bitcoin as a form of payment yet, we're starting to see more places where it's possible.

Also, most of the time, if not always, you have to convert your fiat currency while paying for something with high conversion rates. But a globalized and digitalized world will solve this problem with global currencies because we need that.

What's more, you have to count on governments for fiat currencies and let me tell you this: they suck. At least, cryptocurrencies have a somewhat democratic mechanism in nature.

[QueenVera]

That's not my perception that's what's really going on, we can't expect bitcoin to become an alternative to fiat currency. Even if it's not fiat, it could be gold or another government-controlled currency. Bitcoin cannot stand alone and cannot become the world currency. I invest in bitcoin but I like reality and I dont like living in baseless illusion. Bitcoin is still bitcoin is still a profitable investment but it cannot stand alone without fiat.

If you say this then you don't really understand what you're investing in. Go study Bitcoin, read the white paper then you'll understand what Bitcoin was created for. It was created as an alternative to fiats which means a currency you can use instead of the fiats so Bitcoin doesn't need the dollar or any other fiat to be relevant.
If Bitcoin achieved global adoption we can price items in Bitcoin itself instead of giving it a dollar value. It is a gradual process as we'll get to that stage someday.
Bitcoin store of value is the reason why it's been valued in the dollar, the moment that store of value feature losing some interest and takes it form as a currency then people will careless about what the price of Bitcoin is instead it'll be used frequently like the other means of payment that we have currently.

[EarnOnVictor]

As long as fiat remains the world's primary currency, it will always be important to bitcoin, bitcoin is now just an asset, a commodity whose value is measured in fiat money. How bitcoin exists without value, 1 bitcoin = 1 bitcoin is the only consolation for those who are holding long term. If someone says fiat doesn't important to bitcoin, why don't they buy bitcoin for $69k but wait for bitcoin to drop to $16k before buying?

Fiat is important to bitcoin from your perception because the value of bitcoin is tied to fiat and we can only say bitcoin has risen or fallen based on its value in fiat, e.g dollar.
Can we say that if fiat doesn't exist, the value of bitcoin will not be known? That will not be correct. The value of bitcoin could be tied to another financial assets like gold. But in general it will be difficult for bitcoin in the absence of fiat.

That's not my perception that's what's really going on, we can't expect bitcoin to become an alternative to fiat currency. Even if it's not fiat, it could be gold or another government-controlled currency. Bitcoin cannot stand alone and cannot become the world currency. I invest in bitcoin but I like reality and I dont like living in baseless illusion. Bitcoin is still bitcoin is still a profitable investment but it cannot stand alone without fiat.

Oh, your point is very valid, I'm glad to read from another person that is not living the unthinkable dreams/fantasy of Bitcoin. Many people on BTT would always want to say in favour of Bitcoin without facing the reality of it, but I will never join them. Bitcoin can never replace gold, and gold has been used to settle transactions that are 100% backed by the world government. This is possible because gold is centralized, with nothing hidden about it and it's within the reach of the government. Furthermore, gold reflects the status of an economy that Bitcoin may never be able to do due to its decentralization. Every responsible government would be able to account for outflow and inflow in their domain, gold could do that, but BTC can't.

Besides, Bitcoin can never replace fiat, both have to work together to continue existing. As a matter of fact, BTC will always depend on fiat because if fiat seizes today, BTC would seize also because it is unstable and limited in supply.

[witcher_sense]

How to exchange Bitcoin if you don't have fiat currency. Some countries prohibit the use of cryptocurrencies, restrict Bitcoin, and people can only use legal tender. In terms of payment methods, people usually use legal currency to pay. Most bitcoins are used for investment and storage.

Governments can't really prohibit the use of cryptocurrencies because "using" them is no different than sending messages through the Internet. If you have the freedom to express your opinion with verbal tools, you should also have a right to express your thoughts through electronic means. Money is a language with which to communicate prices and values of different things. Fiat currency is considered to be the "official" language of the country, but cryptocurrencies are a way to say the same using other letters and sounds; the meaning of the message remains exactly the same. You shouldn't be beaten just for speaking the unofficial language; you should be allowed to express your opinion using whatever means you see fit; if this is not the case, then you live in a totalitarian country with a government that respects neither the citizens nor their natural rights.

[naira]

The problem is that any type must be measured by the fiat value of each country and fiat is always used as a benchmark by the government so that it has value even if inflation is not the case. Bitcoin is an immigrant and its existence is still difficult to replace fiat as a whole. But in this case, it is not about the differences between Bitcoin and fiat and their function when transacting, but rather the level of trust that is supported by government regulations. Bitcoins are pegged to their respective countries fiat exchange rates, so both remain an important element in creating value.