Fiat money, be it the US Dollar, Euro, or Yen, is declared legal tender by governments but isn’t redeemable for gold or silver. Its value flows from legal frameworks, central bank policies, and public trust in the issuing authority. Critics argue fiat is prone to inflationary pressures if central banks overprint, while supporters praise its flexibility in monetary policy.

In Bitcoin circles, ‘fiat on-ramp’ or ‘fiat gateway’ is common terminology, referring to the process of converting national currency into BTC. These on-ramps can be centralized exchanges, Bitcoin ATMs, or peer-to-peer platforms. The broader crypto narrative often contrasts fiat’s inflation with Bitcoin’s fixed supply, though real-world usage typically involves bridging between both worlds as needed.