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FDIC insurance

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Crypto Basics

What Is a Fiat Wallet in Crypto? How It Works and Its Risks

October 26, 2026
Fiat wallet explained: a phone app showing a US dollar cash balance moving between a bank and a crypto exchange account, NutshellCrypto logo

A fiat wallet holds dollars, not crypto, inside an exchange or app. How it works, how it differs from a stablecoin, and what FDIC insurance covers.

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