Step 1: Identify the reaction type
This is a displacement reaction, where iron (Fe) displaces copper (Cu) from copper sulfate (CuSO4). In a displacement reaction, a more reactive element replaces a less reactive element from a compound.
Step 2: Conclusion
In this case, iron displaces copper from copper sulfate, forming iron sulfate and copper metal. This confirms it as a displacement reaction.
Final Answer: The correct reaction type is Displacement Reaction.
\[
\boxed{\text{Displacement Reaction}}
\]