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Cryptocurrency and Fiat Money

Stephanie Kelton
YouTube, 2017
Level: beginner
Perspective: Post-Keynesian Economics
Topic: Money & Debt
Format: Interview
Duration: 00:04:51
Link: https://www.youtube.com/watch?v=84wTEf9Acik

Based on Modern Money Theory (MMT), Stephanie Kelton compares the cryptocurrency to the fiat money system (or simply what we have today). She argues that the fiat money is backed by the government ability to make us believe the currency, whereas cryptocurrency does not, so its belief is voluntary. In that sense, a national currency would have a backup that would secure the currency value. The cryptocurrency, on the other side, can have its value going to zero.

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