Current location - Loan Platform Complete Network - Foreign exchange account opening - Dear brothers, I would like to ask what impact a country’s bankruptcy will have on its currency?
Dear brothers, I would like to ask what impact a country’s bankruptcy will have on its currency?

The local currency has depreciated wildly.

When a country goes bankrupt, the country's credit system collapses. The currency of a country without credit will inevitably depreciate significantly. Because no country is willing to use the bankrupt country's currency as a reserve, demand shrinks significantly while the money supply remains unchanged, so the local currency can only depreciate.