FIAT like USD is basically created out of thin air, smartcoins such as BitShares bitUSD/CNY/HERO are backed by 2x of real valuable underlying assets.

Strongly recommend watching this video, the easiest breakdown of how insane the FIAT world really is.

To break it down:

FIAT is created out of thin air > debt > more thin air > endless circle

And this is why I crypto.