What is Fiat in Binance?
In Binance, the term “Fiat” simply refers to real-world government-issued money — such as:
🇺🇸 USD (US Dollar)
🇪🇺 EUR (Euro)
🇵🇰 PKR (Pakistani Rupee)
🇬🇧 GBP (British Pound)
🇨🇦 CAD (Canadian Dollar)
🇸🇬 SGD (Singapore Dollar)
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🔹 What “Fiat” means
“Fiat currency” is money declared as legal tender by a government, not backed by gold or crypto, but by government authority (for example, the State Bank of Pakistan issues PKR).
In Binance, fiat is your entry and exit point — it’s how you buy crypto with cash or sell crypto to get cash.
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🔹 How “Fiat” works inside Binance
Feature Purpose Example
Fiat & Spot Wallet Stores both your crypto and fiat balances You hold USDT + PKR in the same place
P2P Trading Buy/sell crypto directly with others using your local fiat You buy USDT by paying PKR via Easypaisa/Bank
Buy Crypto (Credit/Debit Card) Purchase crypto using your bank card or fiat balance You pay 10 USD → receive equivalent BTC
Convert or Withdraw Fiat Sell crypto for fiat, then withdraw to your bank Sell USDT → receive PKR to your bank account
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🔹 Example
Suppose you buy USDT worth PKR 10,000 via P2P:
Your Fiat (PKR) is used to pay the seller.
You receive crypto (USDT) in your Funding Wallet.
Later, if you sell USDT back to PKR, you get fiat again.
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🔹 Key difference
Type Example Backed by
Fiat currency PKR, USD, EUR Government
Cryptocurrency BTC, ETH, USDT Blockchain / algorithm