How is crypto different from fiat?

Both fiat money and cryptocurrency deliver this utility, but are different in a number of key ways. Fiat money is legal tender whose value is tied to a government-issued currency, like the U.S. dollar, while cryptocurrency is a digital asset that derives its value from its native blockchain .

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How is crypto not fiat?

Unlike fiat currency, most crypto is entirely decentralized and operates peer-to-peer without any intermediary . Some cryptocurrencies operate on private ledger systems that are controlled by a single entity. Cryptocurrencies are generally backed only by the faith of their users.

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