Post
Topic
Board Economics
Re: Semantics of "fiat"
by
aantonopoulis
on 09/02/2015, 13:16:57 UTC

I'm the long run USD is based on work.  Its backed by ...
  

Sorry but you have been fooled.  Virtual and physical USD are both issued by fiat.  You will never get your work, which is why nobody holds large quantities of either physical or virtual USD unless absolutely forced to.   

Paper never can be "backed" by anything other than promises which will eventually be broken.