Nothing has inherent value. All value is relative. The difference between fiat (paper) currencies and currencies that are composed of a physical good, like gold, is solely the ability to control quantity. Fiat currency can be (and often is) produced in unlimited quantities, which leads to inflation. So-called hard currencies, backed by a precious metal, are limited in their expansion by production of that metal.

This is why so many are coming out in favor of metal-backed currencies, because it restrains governments in what they can print to pay their own bills and their ability to devalue the savings of the populace (as Venezuela just did minutes ago, devaluing the savings of its citizens by 47% in one fell swoop).