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TRI Daily Brief - Crypto Names Show Signs Of Strength As US Jobless Claims Fall More Than ExpectedAn otherwise non-valuable object that serves as a medium of exchange (also known as fiduciary money). The term fiat derives from the Latin word fiat, meaning ". Fiat money is a government-issued currency that is not backed by a physical commodity, such as gold or silver, but rather by the government that issued it. 1. Fiat currencies. Fiat currencies are a medium of exchange established as money, often by government regulation. Fiat money does not have.