🌐 Fiat Currency vs Cryptocurrency 🌐🖋 By Bernard Ekal

Fiat Currency 🏦:

• It’s a government-issued currency used for daily activities like trade and transactions.

• Examples: Euro (EUR), U.S. Dollar (USD).

• Value controlled by the government and central bank.

• Risk of devaluation due to inflation, war, or loss of public trust.

• Produced through debt issuance and physical printing.

Cryptocurrency :

• Digital, decentralized currency, not controlled by any government.

• Examples: Bitcoin, Ethereum.

• Value influenced by market demand and volatility.

• Produced via mining, like Bitcoin miners receiving Satoshi.

• Transactions are irreversible and usually free from transaction fees.

• Limited supply, e.g., Bitcoin capped at 21 million coins.

Key Differences 🔍:

• Decentralization: Fiat is government-controlled, crypto is decentralized.

• Production: Fiat is produced through debt and printing, crypto through mining.

• Transactions: Fiat transactions can be reversed in digital form, crypto transactions cannot.

• Supply Limit: Fiat can be continuously printed, crypto often has a supply cap.

Importance of Fiat :

• Central banks control money supply, interest rates, and creditability.

• Supports national economies and trade.

Conclusion 📌:

• Fiat currency is essential for national economies and widely accepted for various transactions.

• Cryptocurrencies offer a decentralized alternative with unique features like limited supply and irreversible transactions.

🔗 To learn more, visit DroomDroom articles! 📘🔍

To dive deeper, check out the complete article:
https://droomdroom.com/fiat-currency-and-how-it-differs-from-crypto/

🌐 Fiat Currency vs Cryptocurrency 🌐🖋 By Bernard Ekal

Fiat Currency 🏦:

• It’s a government-issued currency used for daily activities like trade and transactions.

• Examples: Euro (EUR), U.S. Dollar (USD).

• Value controlled by the government and central bank.

• Risk of devaluation due to inflation, war, or loss of public trust.

• Produced through debt issuance and physical printing.

Cryptocurrency :

• Digital, decentralized currency, not controlled by any government.

• Examples: Bitcoin, Ethereum.

• Value influenced by market demand and volatility.

• Produced via mining, like Bitcoin miners receiving Satoshi.

• Transactions are irreversible and usually free from transaction fees.

• Limited supply, e.g., Bitcoin capped at 21 million coins.

Key Differences 🔍:

• Decentralization: Fiat is government-controlled, crypto is decentralized.

• Production: Fiat is produced through debt and printing, crypto through mining.

• Transactions: Fiat transactions can be reversed in digital form, crypto transactions cannot.

• Supply Limit: Fiat can be continuously printed, crypto often has a supply cap.

Importance of Fiat :

• Central banks control money supply, interest rates, and creditability.

• Supports national economies and trade.

Conclusion 📌:

• Fiat currency is essential for national economies and widely accepted for various transactions.

• Cryptocurrencies offer a decentralized alternative with unique features like limited supply and irreversible transactions.

🔗 To learn more, visit DroomDroom articles! 📘🔍

To dive deeper, check out the complete article:
https://droomdroom.com/fiat-currency-and-how-it-differs-from-crypto/