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Crypto vs Fiat - How Does Crypto Compare To Money?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. Fiat currencies are a medium of exchange established as money, often by government regulation. Fiat money does not have intrinsic value and does. What is fiat money? Commodity money gets its value from its own worth, like with precious metals (e.g. gold and silver), salt, or even shells. Fiat money has.