The speculation principle of international speculators represented by Soros on Thai baht: in the 1980s, the price of Thai baht and US dollar remained fixed (relatively fixed), and US dollar 1 = 24 baht (roughly). In the 1980s, the economy of the United States developed well, and that of Thailand developed well (at that time, it was called one of the four little dragons of Asian economic development). The monetary value of a country is compatible with economic development, and both of them have developed well. There is nothing wrong with this relatively fixed price ratio.

In the mid-1990s, Thailand's economy developed slowly, while the American economy developed steadily, and the exchange rates of the two currencies remained relatively fixed. The value of Thai baht is obviously overvalued. Soros took this opportunity to borrow a lot of Thai baht through various channels before the devaluation of Thai baht, and then converted it into US dollars (US dollars = 1 = 24 baht). After borrowing a certain amount, through his influence in the international financial market and the actual economic situation of Thailand and the United States, he made a speech or other media propaganda to make the holder of Thai baht sell Thai baht in the market. At that time, the Thai government used foreign exchange reserves to buy Thai baht (about $25 billion) in the market, but it could not maintain the stability of Thai baht after using up the reserves. Thailand gave up its efforts and the Thai baht depreciated. (1 USD =40 baht, which is a rough figure)

At this time, Soros threw out US dollars, bought Thai baht and repaid it, from which he got the difference between the borrowing time and the repayment time, and earned 1 6 Thai baht from1US dollars, which was caused by the problem of pegging to the exchange rate system of single currency (US dollar).