BlockSpeak 9 is all about the difference between fiat currencies and crypto.
It’s a difficult subject to understand, but Moven CEO Brett King and global finance superstar is the perfect person to explain it. Fiat currencies are those that are regulated by governments giving them a value while crypto currencies are decentralized from any government regulation.
Their formation goes all the way back to 11th Century China when banknotes were originally issued and they began to proliferate in the 20th Century before US President Richard Nixon untethered the US dollar from the gold standard in 1971.
Then there is another complication. If fiat can be defined as a government-issued currency, what then is digital fiat and how does that compare to the nature of a cryptocurrency?
Wikipedia says that a Central bank digital currency (CBDC), also called digital fiat currency or digital base money, is the digital form of fiat money (a currency established as money by government regulation, monetary authority or law). Are you with us so far?
If so, here we go again.
Central bank digital currency is different from virtual currency and cryptocurrency, which are not issued by the state and lack the legal tender status declared by the government. As such, public digital currencies can compete with commercial bank deposits and challenge the current fractional reserve banking system.
King has his considerable nose to the ground when it comes to hot-to-handle subjects such as this one. While not an idiot’s guide to digital currencies, digital fiat currencies and fiat itself, King’s style appeals to both the veteran and ingenue.
At the end of the 35-minute broadcast, listeners will take away a wealth of information that will help anybody who is interested in the subject.