Will financial crisis affect virtual currency

1. Hello friend, digital currency is not recommended

2. Generally speaking, it will make the currency devalue
because the economic crisis and financial crisis will cause people's panic and lack of investment confidence
which will lead to a vicious circle of currency liquidity trap (the more people dare not invest, the more vulnerable the market is, the more people dare not invest)
authority (the government, the market, the more vulnerable the market is) In order to get rid of the crisis, the central bank will lend or print a lot of money to create liquidity for the market and stimulate the improvement and development of the economy.
as soon as there is a flood of liquidity and a lot of money, the price of goods marked with money will definitely be raised, and the money is worthless.
therefore, generally speaking, the currency will be devalued

3. Financial crisis, also known as financial storm, refers to the sharp, short-term and ultra cyclical deterioration of all or most of the financial indicators (such as short-term interest rates, monetary assets, securities, real estate, land (price), number of commercial bankruptcies and number of bankruptcies of financial institutions) of a country or several countries and regions. It is characterized by people's more pessimistic expectations of the future economy, the devaluation of the currency in the whole region, the loss of the total economic volume and economic scale, and the blow to economic growth. It is often accompanied by a large number of business failures, rising unemployment rate, general economic depression, and even sometimes social unrest or national political instability. Financial crisis can be divided into currency crisis, debt crisis and bank crisis. In recent years, the financial crisis is more and more showing a mixed form of crisis. The financial crisis in Thailand occurred in the turmoil of the stock market and foreign exchange market. The first is the impact of US dollar contraction in the foreign exchange market, which makes the Thai baht depreciate greatly in a very short period of time, and further affects the stock market and financial system of Thailand. The financial market of Southeast Asia is a bundling economy with prosperity and loss, and the currencies of various countries are not unified. In the international financial market, US dollar eventually becomes the trading unit. Indirectly, it has created a driving force for the outbreak of the financial crisis. Therefore, the outbreak of the Southeast Asian financial crisis came from the impact of the foreign exchange market, and the currency crisis became a subsidiary of the financial crisis. The financial crisis does not necessarily increase the value of goods, but it usually devalues the currency, which means that people's money is worthless, and goods still have this price, so prices will also soar!

4. When the financial crisis broke out, the factor affecting the money supply is that the supply exceeds the demand.

5. The financial crisis has spread all over the world. For China, part of the country's foreign exchange reserves have been lost, exports have become difficult, economic growth has slowed down, unemployment has increased, people's income has declined, consumption has decreased, and the market is depressed. For example, Detroit Motor City in the United States is already in a depression, which will cause political instability when it is serious "Because the number of people who buy things is decreasing (or the number of people who can afford it is decreasing), prices have to fall. However, different commodities have different effects. Luxury goods such as cars have a greater impact, and daily necessities including household appliances have a smaller impact, The impact of food will be smaller. Of course, high-end consumer goods will drop the fastest.
compared with European countries (such as Detroit Motor City in the United States), the impact of the financial crisis on China is not very big, because China's economy is somewhat separated from the international economy, China's RMB implements strict management under the capital account, and the impact of international hot money is small, Now that more than 70 banks in the United States are closing down, China's financial system is running well and its economy is growing at a certain speed. At the same time, the country is also expanding the fiscal and recing the deposit reserve ratio, 400 billion to stimulate domestic demand and other measures. Now the RMB exchange rate has been lowered. If the implementation of various macroeconomic measures is effective, it will be about one year for China

6. First of all, economy is a whole concept. Formula: economy = Finance + Finance: the sum of money and credit; Finance: national revenue and expenditure. So financial crisis is much smaller than economic crisis Explanation: national revenue and expenditure: National Tax and expenditure include welfare, public welfare, etc. (if there is a problem in national revenue and expenditure, people's life means bankruptcy). So economic crisis = financial crisis + financial crisis (now many scholars also think that financial crisis = economic crisis, but I oppose this view. Because they think that the current financial crisis will generally cause economic crisis; Black Friday & quot; The world financial crisis has happened more than once. Do you know how serious the U.S. financial crisis is The most common official explanation for the financial crisis is the subprime mortgage problem. However, the total amount of subprime mortgage is only a few hundred billion, and the US government's lout fund has already reached more than one trillion. Why can't we see the end of the crisis? Some articles point out that the root of the crisis is that financial institutions use "leverage" transactions; Other experts point out that behind the financial crisis are 62 trillion yuan of credit default swap (CDS). So, what is the relationship between subprime mortgage, leverage and CDs? What kind of interaction between them proced today's financial crisis? For the sake of readability, we use a few hypothetical examples. Criticism and discussion are welcome if there are inappropriate points. 1、 Leverage: at present, in order to earn huge profits, many investment banks use 20-30 times leverage operation. Assuming that a bank a's own assets are 3 billion, 30 times leverage is 90 billion. That is to say, bank a borrows 90 billion yuan for investment with 3 billion yuan of assets as collateral. If the investment profit is 5%, then bank a will get 4.5 billion yuan of profit. Compared with its own assets, this is 150% windfall profit. On the other hand, if the investment loses 5%, then bank a will lose all its assets and still owe $1.5 billion. 2、 CDs contract: e to the high risk of leverage operation, according to normal regulations, banks do not carry out such risky operation. So someone came up with a way to take leverage investment as "insurance". This kind of insurance is called CDs. For example, bank a finds institution B to avoid leverage risk. Institution B could be another bank, it could be an insurance company, and so on. A said to B, how about you do default insurance for my loan? I will pay you 50 million insurance premium every year for 10 consecutive years, with a total of 500 million. If my investment does not default, then you will take the insurance premium in vain. If you default, you will compensate for me. A I think that if I don't default, I can earn 4.5 billion yuan, of which 500 million yuan will be used for insurance, and I can make a net profit of 4 billion yuan. If there is a breach of contract, there will be insurance to compensate. So for a, it's a business that makes no loss. B is a smart person, did not immediately agree to a's invitation, but went back to do a statistical analysis, found that less than 1% of the default. If you do business with 100 companies, you can get 50 billion yuan of insurance money in total. If one of them defaults, the maximum amount of compensation is no more than 5 billion yuan. Even if two companies default, you can still earn 40 billion yuan. A. B both sides thought the deal was good for them, so they made a deal immediately and everyone was happy. 3、 CDS market: after B has done this insurance business, C is envious. C went to B and said, how about you sell me these 100 CDs? Each contract will give you 200 million yuan, a total of 20 billion yuan. B thinks that it will take 10 years for me to get my 40 billion yuan. Now there will be 20 billion yuan as soon as I change hands, and there is no risk. Why not do it? Therefore, B and C will close the deal immediately. In this way, CDs, like stocks, flows to the financial market and can be traded. In fact, after C got these CDs, it didn't want to wait 10 years to collect another 20 billion yuan. Instead, it listed them for sale with a price of 22 billion yuan; D saw this proct, calculated it, 40 billion minus 22 billion, there is 18 billion to make, this is the "original stock", not expensive, bought it immediately. As soon as they changed hands, C made 2 billion. Since then, these CDs have been copied repeatedly in the market, and now the market value of CDs has been copied to 62 trillion US dollars. 4、 Subprime mortgage: the above a, B, C, D, e, f... Are making a lot of money, so where does the money come from? Basically, the money comes from the profits of a and its like-a investors. Most of their profits come from American subprime loans. People say the subprime crisis is e to lending money to the poor. I don't think so. The author thinks that the subprime mortgage is mainly given to ordinary American real estate investors. These people's economic strength was only enough to buy their own house, but seeing the rapid rise of house prices, they started the idea of real estate speculation. They mortgage their houses to buy investment houses. This kind of loan interest should be above 8% - 9%, which is difficult to deal with with with their own income, but they can continue to mortgage their house to the bank, borrow money to pay the interest, and set up a white wolf empty handed. At this time, a is very happy that his investment is making money for him; B is also very happy that the market default rate is very low and the insurance business can continue to develop; C, D, e, F and so on make money. 5、 Subprime mortgage crisis: housing prices rise to a certain extent will not go up, no one behind the order. At this time, real estate speculators are as anxious as ants on a hot pot. The house couldn't be sold, and the high interest kept paying. Finally, on a day when there was no way out, the house was left to the bank. At this point, a default occurs. At this time, a feels a little sorry that he can't make a lot of money, but he can't lose there. Anyway, B has insurance. B doesn't worry. Anyway, the insurance has been sold to C. So where is the CDs insurance now? It's in G's hands. G has just spent 30 billion to buy 100 CDs from F. before it has time to change hands, it suddenly received news that these CDs were downgraded, and 20 of them defaulted, far exceeding the original estimated default rate of 1% to 2%. Each default will cost $5 billion in insurance, with a total cost of $100 billion. Plus the $30 billion CDs acquisition fee, G's loss totaled $130 billion. Although G is one of the top 10 institutions in the United States, it can not afford such a huge loss. So G is on the verge of bankruptcy. 6、 Financial crisis: if G goes bankrupt, the insurance that a spent 500 million US dollars to buy will be ruined. What's worse, because a uses leverage principle to invest, according to the previous analysis, a will not pay off all its assets. So a is in immediate danger of bankruptcy. In addition to a, there are A2, A3,..., A20, all of which should be prepared for bankruptcy. Therefore, G, a, A2,..., A20 came to the U.S. Secretary of the Treasury together and lobbied with tears. G must not go bankrupt. Once it goes bankrupt, everyone will be ruined. As soon as the Treasury secretary was soft hearted, he nationalized g. since then, the insurance of a,..., A20 totaled $100 billion, all of which were paid by American taxpayers. 7、 Dollar crisis: the market price of the 100 CDs mentioned above is 30 billion. The total value of CDS market is 62 trillion. Assuming that 10% of them default, there will be 6 trillion default CDs. That's 200 times more than 30 billion. If the US government buys 30 billion CDs, it will lose 100 billion. So for the rest of the defaulting CDs, the US government will have to pay $20 trillion. If you don't pay, you have to watch A20, A21, A22 and so on close down one by one. No matter what measures are taken, a big depreciation of the US dollar is inevitable. As a result, in terms of time, it will take at least 10 years to recover. For example, the financial crisis in 1929 and previous crises in the United States will take at least 10 years. Moreover, it will harm the real economy. For example, it will have a great impact on China, The United States and Europe are China's first and second largest exporters. They have no money to buy. China's exports, which account for 1 / 3 of GDP, will be greatly affected. A large number of coastal export enterprises will close down and a large number of workers will lose their jobs. The domestic economy will be greatly affected. In troubled times, only gold is available. In the disaster of the world financial crisis in history, everything is accompanied by inflation and devaluation, such as oil, non-ferrous metals and agriculture, Rubber, etc., only gold is rising steadily. The assumptions and figures used in the calculation will be different from the actual situation, but the severity of the U.S. financial crisis cannot be underestimated

7. All countries are the same

8. The so-called finance, simply speaking, is the financing of funds. To be more simple, it is to study the relationship between money and money. This is my understanding. The strict definition is as follows:
Finance is the general term of currency circulation and credit activities and the economic activities associated with them. In a broad sense, finance generally refers to all economic activities related to the issuance, custody, exchange, settlement and financing of credit currency, Even including the trading of gold and silver, the narrow sense of Finance specifically refers to the credit currency financing<

financial crisis, also known as financial storm, refers to the sharp, short-term and super cyclical deterioration of all or most of the financial indicators (such as short-term interest rate, monetary assets, securities, real estate, land (price), commercial bankruptcy and financial institution bankruptcy) of a country or several countries and regions, In the whole region, the value of currency has been devalued by a large margin, the total economic volume and economic scale have suffered great losses, and the economic growth has been hit. It is often accompanied by a large number of business failures, rising unemployment rate, general economic depression, and even sometimes social unrest or national political instability

financial crisis can be divided into currency crisis, debt crisis and banking crisis. In recent years, the financial crisis is more and more showing a mixed form of crisis

Thailand's financial crisis occurred in the turmoil of the stock market and foreign exchange market. The first is the impact of US dollar contraction in the foreign exchange market, which makes the Thai baht depreciate greatly in a very short period of time, and further affects the stock market and financial system of Thailand. The financial market of Southeast Asia is a bundling economy with prosperity and loss, and the currencies of various countries are not unified. In the international financial market, US dollar eventually becomes the trading unit. Indirectly, it has created a driving force for the outbreak of the financial crisis
therefore, the outbreak of the Southeast Asian financial crisis came from the impact of the foreign exchange market, and the currency crisis became a subsidiary of the financial crisis

to make an analogy, you borrow 100 yuan from Zhang San, then Zhang San borrows 100 yuan from Li Si, and then Li Si borrows 100 yuan from Wang Wu. This is like the current financial system. If Zhang San says that I have no money now, I can't pay it back. In this way, Zhang San has no money to pay Li Si, and Li Si has no money to pay Wang Wu. So it went on, and the crisis happened
the financial crisis is caused by the subprime mortgage crisis in the United States. Americans don't need to pay down for their houses, and they are interest free for the first three years. American mortgage companies turn these mortgage loans into bonds issued around the world. When Americans can't afford the mortgage, many banks will go bankrupt because they buy such bonds. This led to the financial crisis, the global people to buy houses for Americans to pay
however, psychological factors are also the main role of the financial crisis. For example, China did not have a big impact on China, but e to the policy mistakes of national leaders and the public's psychology, China was involved in the financial crisis.

9.

The crisis of financial assets, financial institutions and financial markets

The disadvantages are as follows:

1. For every 1% decrease in the US economic growth rate, China's exports to the US will decrease by 5% - 6%. Secondly, the subprime crisis further strengthened the weak position of the US dollar, accelerated the depreciation of the US dollar, thus recing the advantage of export procts

the US Federal Reserve continuously reces interest rates and injects liquidity into banks, which conflicts with China's tightening monetary policy, resulting in a large amount of hot money flowing into China, accelerating the process of US dollar depreciation and RMB appreciation, thus recing the price advantage of China's exports and posing a challenge to us exports

2. In the short term, the increase of China's domestic demand can not make up for the decrease of U.S. economy's import demand to China. For every 1% decrease in the US economic growth rate, China's exports to the US will decrease by 5% - 6%. Secondly, the subprime crisis further strengthened the weak position of the US dollar, accelerated the depreciation of the US dollar, thus recing the advantage of export procts

The contradiction between the US Federal Reserve's continuous rection of interest rates and the injection of liquidity into banks and China's tightening monetary policy has led to a large amount of hot money flowing into China, accelerating the process of the depreciation of the US dollar and the appreciation of the RMB, thus recing the price advantage of China's export procts and posing a challenge to US exports

the financial storm is characterized by people's more pessimistic expectations based on the economy in the future, the devaluation of currency in the whole region, the loss of economic aggregate and economic scale, and the blow to economic growth. It is often accompanied by a large number of business failures, rising unemployment rate, general economic depression, and even sometimes social unrest or national political instability

Financial crisis can be divided into currency crisis, debt crisis, bank crisis and so on. In recent years, the financial crisis is more and more showing a mixed form of crisis. And it will graally spread to the surrounding cities and countries

extended data

economic crisis has existed in the proction of simple commodities as early as possible, which is related to money as a means of circulation and payment. It was only in the mode of proction that the crisis became a reality. With the development of simple commodity economy between private labor and social labor, economic crisis is inevitable

with the extensive development of social division of labor, commodity proction, every enterprise has become a link in the complex system of social mass proction. Objectively, it serves the whole society, meets social needs and should be regulated by society. As the means of proction are privately owned, proction is subordinate to the interests of enterprises, and the proction results are owned by them

However, the only purpose of enterprise proction, the expansion or rection of proction, does not depend on the relationship between proction and social needs, that is, the needs of socially developed people, but on the profit and the ratio of the profit to the capital used, that is, a certain level of profit margin

10. More measures will be taken to stabilize the capital market 2008-10-13 08:12 source: the communique of the Third Plenary Session of the 17th CPC Central Committee published by Xinhua News Agency yesterday proposed that "we should adopt flexible and prudent macroeconomic policies, strive to expand domestic demand, especially consumer demand, and maintain economic stability, financial stability and capital market stability". In this regard, experts pointed out that in the current international economic and financial situation, in order to maintain stable economic growth, the future macro-control policy will be more flexible, and the fiscal and monetary policies will be further relaxed in the next stage< How do I choose stocks, Why should I choose stocks in the Third Plenary Session of the Central Committee of the Communist Party of China: keep the market stable
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for the Third Plenary Session of the Central Committee of the Communist Party According to the "flexible and prudent macroeconomic policy" proposed in the paper, experts believe that the central government will further relax its monetary policy and fiscal policy e to the increasing turbulence in the current international financial market< According to Zhou Zhou, deputy general manager of Southwest Securities R & D center, "flexibility and prudence" is a flexible response to the deterioration of the current international financial situation made by the central government according to the changes of the international economic situation and the situation. According to the recent central bank's "two rates" drop, and the finance and taxation department's cancellation of interest tax policy, it shows that the phased task of tightening policy in the previous stage has been completed. In the next stage, monetary policy and fiscal policy will be further relaxed according to the changes of international and domestic economic situation

Huang Xuejun, strategic analyst of Everbright Securities, agrees with this. He pointed out that under the deteriorating global financial situation, domestic macro-economic policies tend to be in line with international policies. However, e to the possibility of further deterioration of the U.S. financial crisis, it is necessary to further relax domestic macro-economic policies in the next step< In Huang Xuejun's view, there are two main characteristics in grasping the trend of macro policy in the next stage from the Third Plenary Session: first, the word "stability" is in the lead, and it is proposed to "maintain economic stability, financial stability and capital market stability", so the macro policy in the next stage will change from tight to steady; The second is to reflect the flexibility and foresight of macro policy in the next stage. In the current international financial crisis has the trend of further deterioration, China's macro policy will change with the development of the crisis situation< The Third Plenary Session of the Central Committee of the Communist Party of China proposed to "focus on expanding domestic demand, especially consumer demand". In this regard, experts said that this is a correct decision, and pointed out that under the current situation that external demand is likely to slow down, there are more sufficient reasons to expand domestic demand, In the next stage, the government may introce a series of policies aimed at stimulating domestic demand

"with the transfer of the financial crisis to the real economy, the consumer market in the United States, including Europe, may shrink, which will greatly affect China's exports." Therefore, it is necessary for China to take measures to promote domestic demand and further enhance the status of consumption in economic development, Zhou said. In his view, an important direction for China to promote domestic demand is to stimulate rural consumption market. Therefore, the government may introce a series of fiscal and monetary policies to stimulate rural consumption<

Huang Xuejun also said that to expand domestic demand and stimulate consumption, an important direction is to expand the rural consumer market. In his view, China's consumption has two gradients, one is urban-rural gradient, and the other is eastern and central western gradient. From the perspective of expanding domestic demand, the consumption potential of rural areas is greater than that of cities, and the potential of central and western regions is greater than that of eastern regions. Therefore, in order to expand domestic demand, rural areas and central and western regions will usher in more opportunities, and more fiscal policies to stimulate domestic demand may incline to these two gradients in the future

there may be more measures to stabilize the capital market

with the deterioration of the external economic environment, the Third Plenary Session of the CPC Central Committee not only proposed to maintain economic and financial stability, but also proposed to maintain the stability of the capital market. In this regard, Huang Xuejun said that this shows that the central government attaches great importance to China's capital market, and also shows the central government's determination to stabilize the capital market in the next step

at a time when the stock markets in Europe and the United States are in turmoil, the Asia Pacific market, including China's stock market, has also been greatly adversely affected. Therefore, relevant government departments have taken measures to stabilize the stock market one after another“ In my impression, it is rare that the capital market was proposed in the Third Plenary Session of the Central Committee of the Communist Party of China. This time, the Third Plenary Session of the Central Committee of the Communist Party of China proposed to "maintain the stability of the capital market", which shows that the central government has paid more attention to the capital market. " Zhou Zhou said that this reflects that there will be more policies and measures concive to the stable development of the capital market in the future<

Huang Xuejun also said that, in fact, in recent years, unprecedented efforts have been made to "stabilize" the capital market. Policies such as system, taxation, capital, supply and demand involve all aspects of the stock market, and almost "give what you want". It can be said that the policy power has been quite large, and the determination of the central government can be seen. However, Huang Xuejun believes that the core of the policy should be on the relationship between supply and demand. Only when the relationship between supply and demand changes fundamentally can the stock market be stabilized and more investment be focused on the fundamentals, so as to enhance market confidence.