Exchanging my cash for something of more value

Before I first came across the term bitcoin or cryptocurrency, I seldom thought about the term fiat currency or fiat money. Well, money to me, is just …. money. Pieces of paper with numbers on them, which I can use to purchase goods and services. Or these days, numbers on a screen. Perhaps it is also because so far, in my life in peaceful Singapore, I have yet to witness a run on the banks here. The term fiat derives from the Latin word fiat, meaning “let it be done” used in the sense of an order, decree or resolution. Investopedia defines fiat money as a government-issued currency that is not backed by a physical commodity, such as gold or silver, but rather by the government that issued it. Investopedia highlighted that one danger of fiat money is that governments will print too much of it, resulting in hyperinflation. Random thoughts on Cryptocurrency


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