Chapter 193: Exactly How Much Sakura Coin Was Prepared

Just as a few people were ecstatic.

One of them said:

"The only slightly troublesome thing is that we still don't know exactly how much capital Tianqi Group has raised. Judging by the current scale of releasing one trillion Sakura Coins every day, if it continues for ten days, that would be ten trillion Sakura Coins. Even if we and Sakura Country join forces, we might not be able to handle it."

"In that case, if we rashly get involved, we might also fall into massive losses."

Another person hesitated: "That shouldn't be possible, right? Ten trillion Sakura Coins—what kind of concept is that? Even with the scale of Tianqi Group, they shouldn't be able to come up with that."

"Although Tianqi Group has high profits, they have countless investments in various fields during this period, plus the crazy expansion of the Apocalypse Energy Factory, and the research and development of the Apocalypse Core and Tianqi Pharmaceutical Company; these all require a lot of money..."

"What if they can come up with it?"

That person asked again.

Hearing this, the others gradually fell silent.

Currency trading is not that simple.

Where there is a buyer, there is a seller.

Su Xin is dumping Sakura Coins on the foreign exchange market on a large scale, with Long Coins and Eagle Dollars as the target currencies.

To put it another way.

It could also be said that Su Xin is using Sakura Coins to buy up large amounts of Long Coins and Eagle Dollars on the market.

For example, the current exchange rate between Sakura Coins and Long Coins is 1 to 0.05; it takes 20 Sakura Coins to buy one Long Coin.

Tianqi Group dumps one trillion Sakura Coins; assuming they are all used to buy Long Coins, normally they could exchange for 50 billion.

But the problem is, there is definitely more than just Tianqi Group in the world buying Long Coins. Other people with needs also want to buy, but as soon as Long Coins appear on the market, they are directly snapped up by Tianqi Group's massive buy orders, and many people simply cannot buy any.

So what to do?

They can only pay more to buy.

If you exchange 20 Sakura Coins for one Long Coin, then I will offer 21, 22, or even more.

As long as Tianqi Group's huge buy orders are hanging there, others who want to buy Long Coins must use more Sakura Coins, otherwise they won't be able to buy any at all.

The Long Coin will slowly appreciate.

And the Sakura Coin will slowly depreciate.

Which is what is commonly known as becoming worthless.

The two sides of an exchange rate are always relative.

At this time, what will other people holding Sakura Coins do when they see the Sakura Coin constantly depreciating? Of course, they will dump them quickly! Exchange them for Long Coins or other more valuable currencies.

This will cause an avalanche in the value of the Sakura Coin.

At the same time, when one wants to exchange Sakura Coins for other currencies, those other currencies will inevitably appreciate relatively upon seeing the massive influx of capital, making the amount of money these Sakura Coins can exchange for smaller and smaller.

Moreover, when other currencies see the avalanche in the value of the Sakura Coin, who would dare to easily take over? Everyone will treat the Sakura Coin like a hot potato.

This will further increase the momentum of the avalanche; it will not only depreciate relative to the exchange rates of the Long Coin and Eagle Dollar, but it may even depreciate across the board.

By that time.

No one will be able to stop the momentum of the avalanche.

Therefore, if Sakura Country or Yingjiang Country wants to take over, the most important thing is to use money to exchange.

Isn't Tianqi Group using a large amount of Sakura Coins to snap up Long Coins and Eagle Dollars? They buy them out almost as soon as they appear on the market.

Then Sakura Country and Yingjiang Country should release a large amount of both Long Coins and Eagle Dollars to satisfy Tianqi Group's acquisition needs.

This can ensure that these two currencies on the foreign exchange market meet the needs of other users without being in short supply, and at the same time, Sakura Coins will not be flooded.

The exchange rate will then be stabilized.

In layman's terms, it is equivalent to Sakura Country and Yingjiang Country directly using Long Coins and Eagle Dollars to exchange for the Sakura Coins in Tianqi Group's hands.

You dump how many Sakura Coins, and I will take the corresponding amount of Long Coins and Eagle Dollars to exchange, so that your capital cannot affect other people's transactions.

Sakura Country and the others could even release more Long Coins and Eagle Dollars to snap up Sakura Coins, reverse-pushing up the exchange rate of the Sakura Coin, and turning defense into offense.

In the end, if the Sakura Coin depreciates, then the funds that Sakura Country and Yingjiang Country exchanged for will depreciate significantly, resulting in countless losses.

Conversely.

If the Sakura Coin does not depreciate, then this series of short-selling actions by Tianqi Group will naturally fail completely, and the leverage interest rates and transaction fees alone would be enough to make them lose quite a bit.

If the exchange rate of the Sakura Coin is pushed up, Tianqi Group will suffer even heavier losses.

It can be said that a currency war is a sky-high stakes gamble between two sides.

It is a competition of who has more money.

Does Sakura Country have money?

Of course they do; they are known as the third-largest economy in the world, with a population of over 100 million, and their annual GDP is around 5 trillion Eagle Dollars.

Does Yingjiang Country have money?

Of course they do; they are the undisputed world's number one power, the world's largest economy, and have dominated the world for decades.

However, having money does not mean they can spend it however they want.

Precisely because they are a major power, both their internal and external environments are extremely complex, and there are many aspects that need to be considered. Every time a large sum of capital is used, it must go through many links, many discussions, and many audits.

No one can make a decision with a single word.

Furthermore, having money does not mean having a lot of liquid capital. Even Yingjiang Country, known as the world's number one power, could never take out more than 10 billion Long Coins in liquid capital at any time.

A scale of 100 billion would require repeated discussions and repeated internal clashes.

Even if passed, it would have to be raised in batches to barely be able to come up with it.

Want to take out more than 100 billion Long Coins to aid their little brother, Sakura Country?

They would be cursed to death by their own people!

Moreover, no one dares to be sure if 100 billion Long Coins is enough to save the situation. If they take out this money and it turns out to be insufficient, the next step is either to admit defeat and take the loss, or to continue following it and fight to the death.

Regardless of which possibility.

None of them could bear it.

If things went wrong, they might lose their positions, or even end up as national sinners.

Just as the few were silent, the door to the conference room was suddenly knocked on lightly.

A white-haired old man in the lead said in a deep voice:

"Come in."

A secretary who looked like a delicate young girl pushed the door open, walked in quickly, and respectfully handed a document to the white-haired old man.

"This is the information just collected."

"Very well, you may go."

The white-haired old man waved his hand, then opened the document in front of him and began to read.

The next moment, he could not help but widen his eyes, and a classic curse word escaped his lips.

It took a full few minutes before he raised his head, looked at the curious and puzzled faces one by one with a grave expression, and said word by word:

"Sakura Country, we cannot help them."

After saying this, the white-haired old man looked back at the document in front of him and spoke out some of the information directly.

"The people I sent have just found out the specific capital movements of Tianqi Group over these past few days."

"On the very first day they sold off Sakura Country assets, they used many of their subsidiaries to frantically raise Sakura Coin on a global scale."

"Among them, there were loans with ten-fold leverage from multiple banks and fund securities companies, funds raised by their own fund companies, and a large amount of cash flow directly exchanged in the foreign exchange market."

"In short, just from the funds that could be investigated, Tianqi Group raised at least 14 trillion Sakura Coin, which converts to 700 billion Long Coin, or 100 billion Eagle Dollar."

"14 trillion Sakura Coin?!"

Everyone was stunned in astonishment.

Even with their status and position, and the financial groups behind each of them, they were still frightened upon suddenly hearing such an astonishing amount of assets.

Such a heaven-shaking move could almost be called the greatest in history, nearly ten times the capital used by Ross when he swept through the Southeast Prefecture!

"Too crazy!"

"Has Su Xin raised all the group's funds? Is he going to risk his life against Sakura Country?!"

"700 billion Long Coin, even if it were all borrowed with ten-fold leverage, it would require at least 70 billion Long Coin in margin."

"Not to mention he had other channels for raising funds, which couldn't use leverage at all."

"In other words, the principal he used very likely exceeded 100 billion Long Coin!"

"He was also simultaneously making large-scale sell-offs in the Sakura Country stock market; the value of these assets combined is at least several tens of billions."

"Furthermore, he has also invested in quite a few fixed assets and stocks in various countries."

"Just how rich is Tianqi Group!"

The crowd exclaimed one after another.