There's a lot of distinct differences that could be drawn between the two.
1. Fiat can be created from thin air; cryptocurrencies has a set amount of coins to be mined/acquired.
2. Inflationary (fiat) vs Deflationary (cryptocurrency)
3. Region-restricted purchases (fiat); shopping with no borders (cryptocurrency)
4. Requires an intermediary to store money (fiat); you're your own bank (crypto)
These are some of the things that differ crypto from fiat. There's a lot more aside from those things but that's just what I thought off the top of my head.
I totally agree with "you are your own bank". Indeed this is the nature of crypto and this is what makes crypto very popular. Not covered by the bank and no interest or taxes.