considering the advantage of Fiats over Cryptocurrencies

[Darker45]

Both Bitcoin and fiat have their own sets of advantages and disadvantages. Their features are both good and bad depending on the perspective or how we look at them. Irreversibility, for example, is good in the sense that transactions have finality. That means security. That's an assurance that once you get paid, for example, the payment cannot anymore be taken back from you. But it is also bad in a sense because once an erroneous transaction is confirmed, it can't anymore be undone.

There's no perfect money. Gold is an excellent money but that, too, has its own shortcomings. The same with fiat. The same with Bitcoin. The same with silver, sea shells, the rai stones, and the rest of the money used all throughout humanity's history.

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[pooya87]

Most of us as at times thought about how Crypto could dominate over financial exchange for payments without considering this certain advantage of the Fiats and also considering that most persons still lives a primitive live to cope with the digitalities of advancements.

Of course there is advantage in the current existing financial system and its tool called fiat which is an unlimited supply currency. And of course there is advantages in new invention in the financial world in form of a decentralized money with a capped supply.
But that doesn't mean this decentralized money is going to replace, dominate, etc. the old one. Bitcoin is just an additional tool that exists as an "alternative option" to address the flaws in the existing system.

For example imagine you want to transfer a large amount of money to someone in another country. You'll have to go through the baking system, the exchange rate, answer a lot of questions about why you are doing that with YOUR OWN MONEY!, and also pay a ton of fee.
Now you can do that with bitcoin without having to answer anybody and with only paying a teeny tiny fee of less than a buck.
At the same time this doesn't mean from now on every single transfer is going to go through bitcoin.

[wxa7115]

While we are so comfortable about the potentials of the decentralized digital currencies such as the Alt and the Bit coins and its centralized exchanges in the blockchains, let's also understand that the Fiats has an advantage over it that you'd have somewhere to go to and someone to hold responsible in some cases that your fund in the bank is tempered by a theft or otherwise than that of Crypto that it's transactions is operated anonymously
Everything is life is not so balanced are when you're dealing with the sweetest parts of it, we fails to consider the bitter side of it.
Most of us as at times thought about how Crypto could dominate over financial exchange for payments without considering this certain advantage of the Fiats and also considering that most persons still lives a primitive live to cope with the digitalities of advancements.

If we are as objective as possible, it is clear there are many people out there that are not ready to become their own banks and they need their protection, if not then they will find a way to lose their money, and over the years we have seen many examples like that on the forum.

However before the invention of bitcoin those that had the capabilities to take care of their own money only had gold and silver as alternatives, and while they can be a good store of value, their use as currency is almost nonexistent, but bitcoin changed this and it allowed us to have a better alternative to gold, and that is invaluable.

[AVE5]

The bank is not usually responsible for issues customers encounter and they sometimes are swindling you for their own benefits. There will always be use for banks in the financial system, Bitcoin does not want to replace that. Bitcoin gives you an option to be your own bank and store your funds the way you want to.

Bitcoin is still a speculative asset and no one should be moving their entire funds out of fiat systems and into Bitcoin.

Okay I'll agree with you that the banks is not also usually safe with a maximum guaranteed when we've our funds saved in the centralized sectors. Obviously once funds is stored in the bank it's still at your risk to keep a valid security and also indebted to risks by bankers afterall the banking system also has malicious performances.
But there in the Crypto, you're at all in charge of your funds in a decentralized wallet so to it all, all risks and security aspects of your funds lies on your cares.

[Marvelman]

The bank is not usually responsible for issues customers encounter and they sometimes are swindling you for their own benefits. There will always be use for banks in the financial system, Bitcoin does not want to replace that. Bitcoin gives you an option to be your own bank and store your funds the way you want to.

Bitcoin is still a speculative asset and no one should be moving their entire funds out of fiat systems and into Bitcoin.

Okay I'll agree with you that the banks is not also usually safe with a maximum guaranteed when we've our funds saved in the centralized sectors. Obviously once funds is stored in the bank it's still at your risk to keep a valid security and also indebted to risks by bankers afterall the banking system also has malicious performances.
But there in the Crypto, you're at all in charge of your funds in a decentralized wallet so to it all, all risks and security aspects of your funds lies on your cares.

Well, that's sorta true but not totally.  Banks aren't perfect, sure, but least they got FDIC to cover your cash if they go under.  With crypto you lose your password or get your wallet hacked and boom, your money vanishes. 

Yeah crypto lets you control stuff directly but you also gotta be real careful.  One slip up and your millions are gone with no takebacks.  Banks might pull some shady junk but they got backups and safeguards in place.

So they both got good and bad.

[|MINER|]

Fiat has advantages ok but the thing about theft is if your money is lost from the bank you will have no proof and you won't get it back even if you say thousands.  Moreover, centralized currencies are traded on third-party surveillance, i.e. the government will know where the money is last.  But there are many countries where bank money is being stolen overnight and the government is unable to do anything.  Bitcoin transactions are very transparent transactions.  Even though it is decentralized, its block chain allows you to find out where it is and who owns it.  And you don't have to be subject to any third-party surveillance.

[fuguebtc]

Cryptocurrency aren't anonymous, the truly anonymous is Monero, while the rest are either privacy enhanced coins, pseudonymous, to KYC coins. Considering that most people use centralized exchange to buy coins, it means the centralized exchange and government can know who hold this coins or vice versa. Even though I don't like centralization and KYC, but cryptocurrency are actually far better than fiat in terms of transparency.

If your fund in banks tempered by a theft, you don't have any evidence if your fund are stolen to whom, the one who know is banks, but what if banks didn't want to reveal?

But if you use cryptocurrency, you can trace where your money belongs to since blockchain is public, so you can report to authority.

Are you sure about what you say? Do you mean if someone gets scammed or has their cryptocurrency stolen, you can report it to the police and easily get your assets back? So why do criminals use bitcoin or other cryptocurrencies to trade without being detected by the government? Why can't anyone get their money back after being scammed or having their bitcoins stolen? Why do people who transfer the wrong wallet address have no way to get their bitcoins back even if they report it to the authorities?

If you transfer bitcoins to me now and I challenge you to find a way to get your bitcoins back even if you report it to the FBI or any government agency you trust.

[Sebas.tian]

See the reason people are comfortable with the potential of decentralized currency than centralized currency:

1: No third party in your crypto transaction, and it has made many countries to adopt it for their citizens to have access and to make their privacy safe from scammers in the country compared to centralized currency that involved third party before your transaction can be successful.
2:Cryptocurrency is not control by the government and it will never be control by the government, because it was created to eliminate delay in transaction which is the another advantage that is making people to have interest on cryptocurrency than fiat so that they can see and enjoy the benefits that attached to it. But the advantage of fiat in the area of increasing humanity wealth is very low compare to cryptocurrency that has increased many investors that have the knowledge of cryptocurrency.

[mu_enrico]

First of all, it is incorrect to group Bitcoin & Altcoin and then compare it with fiat since these two are not in the same group. The advantage (or disadvantage based on your PoV) of fiat over Bitcoin is pretty clear. Fiat is a "bad" currency, it's so bad that people want to give up their money easily because of inflation, in other words, people are encouraged to spend it. This consumerism-centric money powers the current consumption-based economy. Meanwhile, in the Bitcoin economy, people will be more reluctant to give up their money, since BTC is precious and will increase in value over time. Altcoins, however, is more like fiat since people (or at least me) aren't that reluctant to spend it, but it comes with the major volatility issue.

Now, back to the OP. If it's related to the custodian or non-custodian thing, both have pros and cons. There's this fractional reserve in the bank that can cause a bank run if the control system isn't working properly. Embezzlement and corruption are not a myth but happened multiple times in the past for both Fiat Bank and CEX. You can contact their CS but if there's no money there, you'll get nothing. Conversely, the non-custodian means you, with your keys, 100% control your money. CEX isn't the ideal thing that happened in crypto, but it's what we have and is working now.

[boyptc]

The only advantage of fiat is it is widely accepted but Bitcoin and other cryptos are also going to that point.

As fiat has been made as legal tender and backed by the government gived that advantage.

As for BTC, we as community backs it but an advantage of btc as highly volatile cant be compared to fiat.

[davis196]

While we are so comfortable about the potentials of the decentralized digital currencies such as the Alt and the Bit coins and its centralized exchanges in the blockchains, let's also understand that the Fiats has an advantage over it that you'd have somewhere to go to and someone to hold responsible in some cases that your fund in the bank is tempered by a theft or otherwise than that of Crypto that it's transactions is operated anonymously
Everything is life is not so balanced are when you're dealing with the sweetest parts of it, we fails to consider the bitter side of it.
Most of us as at times thought about how Crypto could dominate over financial exchange for payments without considering this certain advantage of the Fiats and also considering that most persons still lives a primitive live to cope with the digitalities of advancements.

Good luck getting your fiat funds back, if you send them voluntarily to someone. The bank can't be held responsible, because you decided to send the money in your bank account to a random scammer, who promised you something. I don't consider this to be an advantage.
Even when the scammer gets caught, the court case could take years and getting back your money would be a really slow process(if there is any chance to get back your money).
The biggest advantage of fiat money is the fact that you could spend them easily everywhere. You can't do the same thing with crypto, because the number of merchants accepting cryptocurrency payments is really small.

[God bless u]

While we are so comfortable about the potentials of the decentralized digital currencies such as the Alt and the Bit coins and its centralized exchanges in the blockchains, let's also understand that the Fiats has an advantage over it that you'd have somewhere to go to and someone to hold responsible in some cases that your fund in the bank is tempered by a theft or otherwise than that of Crypto that it's transactions is operated anonymously
Everything is life is not so balanced are when you're dealing with the sweetest parts of it, we fails to consider the bitter side of it.
Most of us as at times thought about how Crypto could dominate over financial exchange for payments without considering this certain advantage of the Fiats and also considering that most persons still lives a primitive live to cope with the digitalities of advancements.

Yeah that's something that can be looked into because people have on their mind that it's very easy to carry and store fiat while crypto is very difficult to store.

Look it's not the case if we combine these two actually it's almost the same. If we don't take care of our fiat and carry a very large amount and go anywhere we want then it'll lead to mishaps and thefts. The same is the case with crypto it's very safe until you do bullish things with your phone and get into the hands of scammers. Actually due to a shortage of education we can't blame the system.

[AnonBitCoiner]

The only advantage of fiat is it is widely accepted but Bitcoin and other cryptos are also going to that point.

As fiat has been made as legal tender and backed by the government gived that advantage.

As for BTC, we as community backs it but an advantage of btc as highly volatile cant be compared to fiat.

Everyone is not familiar with bitcoin as Bitcoin is not a famous currency in their consideration for all humans all over the world because some of them don't know about Bitcoin and if some know about investment then they don't believe it because it is volatile and unstable currency where as fiat currency is widely accepted as it is used in all aspects of life.

People will accept Bitcoin but they also cannot leave fiat currency because that is used for purchasing daily objects. I think that both have its own importance and we cannot ignore the importance of any of these but we have to take advantage of both according to its uses.

[EarnOnVictor]

What I see here is that most people reviewing Fiat and Cryptocurrency are often too lousy, but always, my resolve is that the two will continue to coexist. We should not place one over the other as both have their advantages and disadvantages. Even when we weigh the advantages and disadvantages of the two, I am still certain that Fiat will win Cryptocurrency in this regard. Notwithstanding, we should respect the two and let them continue to serve us when we need them and for the purpose we need them.

Going by the context of this thread, a few of the ways Fiat outstands cryptocurrency are stated below:

1. It is reversible. Those who did transactions wrongly, or were scammed, or got their account hacked but later detected and seized will appreciate this better.

2. Fait can do without crypto, but crypto can't do without fiat. This is evident in the way we exchange our cryptos for fiats before we can spend them in most cases.

3. Its centralisation has enough advantages than people think.

4. Your lost access to Fiat can also be recovered.

5. The high volatility of crypto is more disadvantageous to rely on than to trust.

6. Loss of assets when you die.

7. Higher accountability and economic growth of a country.

8. Higher investment opportunities.

9. And many more...

[WillyAp]

Both Bitcoin and fiat have their own sets of advantages and disadvantages.

Yeap spot on.
All what you can exchange to archive what you need is good to have.
That makes it hard to understand Maxis.

[kryptqnick]

In my country, if you send money to scammers from your bank account, I think it's unlikely that the transactions will be reversed, unless the case goes to court and the court orders it. If it's an obvious technical glitch, you can contact support, and they're likely to give the money back to you. But it can be much harder in other cases. What you can do, though, is block your card if it's stolen (or you lost it) and ask for a new one, and this way you don't lose your money which would have been lost in similar cases with Bitcoin.

A significant advantage of fiat is how easy it is to use it. Cash is basically anonymous, and it's very understandable and accessible. A card is not anonymous, but often requires very simple movements that even people who are digitally illiterate can make (like entering a pin code from time to time or putting a card close to a reader).
It's also relatively stable (unless you live in a country that has fiat suffering from hyperinflation), which is convenient for everyday prices.

[Findingnemo]

I still use fiat to make my every payment on my day to day basis because crypto isn't accepted yet despite being legal in my country that is the only advantage I can think of.

But from a broader perspective, the fiat is a trap that keeps us poor in the name of inflation which has no escape since governments are printing the paper money non-stop and it keeps losing its value in the range that we overlook unless we give deep attention to it.

[darkangel11]

IMO cash can compete with bitcoin, but digital fiat, like the one you keep in the bank or on a Paypal account cannot. The reason for that being the centralized nature of all these businesses. They don't really hold your money it's just numbers. If the numbers get messed up in their database your money is gone. If someone hacks the database your money is gone. If someone obtains your data from you via theft or threats, money is gone. You don't get that problem with bitcoin. Blockchain is backed on millions of computers around the world, you can't hack it. You can't destroy the database. Even if they physically steal your wallet from you as long as you have the backup you can quickly use it to move coins before the thief does. Cash is cool, but they're limiting it as much as they can. I've recently found out there are new limits for cash payments in the EU, so it's going to get worse and worse until they eliminate cash completely.

[boyptc]

The only advantage of fiat is it is widely accepted but Bitcoin and other cryptos are also going to that point.

As fiat has been made as legal tender and backed by the government gived that advantage.

As for BTC, we as community backs it but an advantage of btc as highly volatile cant be compared to fiat.

Everyone is not familiar with bitcoin as Bitcoin is not a famous currency in their consideration for all humans all over the world because some of them don't know about Bitcoin and if some know about investment then they don't believe it because it is volatile and unstable currency where as fiat currency is widely accepted as it is used in all aspects of life.

People will accept Bitcoin but they also cannot leave fiat currency because that is used for purchasing daily objects. I think that both have its own importance and we cannot ignore the importance of any of these but we have to take advantage of both according to its uses.

As a matter of fact even we're advocates of Bitcoin, we're living in a country that's fully reliant on cash, credit cards and digital payments. But with the latter, that's when people and the government can start to analyze and realize that bitcoin can be inserted with that.

Both has its own importance and there's no doubt with that. We understand the importance of Bitcoin in our own economy and the same goes for cash and they can co-exist on any country where there are people who are interested and are already into it.

While the new ones, they might be confused on how it works but everyone has to start somewhere just as we.

[_BlackStar]

While we are so comfortable about the potentials of the decentralized digital currencies such as the Alt and the Bit coins and its centralized exchanges in the blockchains, let's also understand that the Fiats has an advantage over it that you'd have somewhere to go to and someone to hold responsible in some cases that your fund in the bank is tempered by a theft or otherwise than that of Crypto that it's transactions is operated anonymously
Everything is life is not so balanced are when you're dealing with the sweetest parts of it, we fails to consider the bitter side of it.
Most of us as at times thought about how Crypto could dominate over financial exchange for payments without considering this certain advantage of the Fiats and also considering that most persons still lives a primitive live to cope with the digitalities of advancements.

Fiat and crypto have the same function as a means of payment - but not all countries legalize them as legal tender. You can use any type of cryptocurrency to make payments as long as the recipient is willing to accept them - but in many countries, you must first convert to fiat before you make a payment. This is done to respect the law rather than break it - but you are free to choose what works best for you.

Fiat is used in many cases of traditional payments - it will not disappear even though the digital era has come. Whatever - fiat is still used, but cryptocurrency ^[bitcoin] is present as an alternative currency for payments that are not as usual.