A friend once told me: “I’ll not spend real money to buy virtual ones”.

This distinction intrigued me: “are FIAT money more real than cryptocurrencies?” - I wondered. My friend kept talking, but I was no longer listening - I got carried away shuffling arguments in my mind 🧠

Here are 3 reasons cryptocurrencies are as real as FIAT money.

Did you know less than 10% of all US dollars exist as bills and coins?

That’s right, over 90% of what many people consider ‘real money’ only exists as numbers in some databases 💽. Databases owned and/or controlled by governments, central banks, and other related institutions 🏦. Databases with no transparency to the public.

It’s time to update our definition of ‘real money’.

“Ok” - you might think - “but at least paper money in my pocket represents real value, right?”.

No. In reality, FIAT money is not backed by anything. It’s only worth something, because we (the society) agree on its worth. It’s a social contract 🤝

It’s no different with cryptocurrencies.

“You can’t make groceries 🛍️ with crypto” - some argue.

The underlying argument is: I have a real use with FIAT money, that I don’t with cryptocurrencies. But this is true only as long as you transact in one homogenous environment. For example, BRL (Brazilian real - pun intended) is useful when I’m in Brazil. When I’m somewhere else, I can’t do much with it 🤷‍♂️

If you have no use with your cryptocurrencies, it’s because of the environment your transact in - not because crypto is less real.

Cryptocurrencies are as real as FIAT money.

Virtual vs. real money is a fallacy 🙅‍♂️