- paper currency made legal tender by a fiat of the government, but not based on or convertible into coin.
Origin of fiat money
An Americanism dating back to 1870–75
Dictionary.com Unabridged Based on the Random House Unabridged Dictionary, © Random House, Inc. 2018
Examples from the Web for fiat money
It was also, and very logically, the beginning of the fiat-money party.Readings in Money and Banking
Chester Arthur Phillips
- mainly US money declared by a government to be legal tender though it is not convertible into standard specie