This is the first edition of Fate (version 1.0, released 1/15/03), based on the RPG Fudge. A major difference is the use of Aspects ("elements for describing the character").
From the Introduction
Fate is a variation on Fudge, an RPG by Steffan O'Sullivan. As such, it assumes the reader is familiar with Fudge, and while everything necessary to play is included, any interested player is strongly encouraged to acquire a copy of Fudge, either at your local gamestore, or for free online at fudgerpg.com.