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Ask HN: Could sovereign debt issuers render Russian reserves worthless?
US Treasuries for example - presumably Russia owns a lot of them. And what would that do to the issuers’ credit ratings?
- 2Gkashmiri 5y agowhat do you mean. if russia has US$ in hard currency, how can that be "rendered worthless"? what about reciprocity? if you render my reserves worthless, do you think i would continue to unhold my debt to you? if i owe you money, consider that also gone and same for my allies. where would that leave you? or say world bank or IMF for example?
- asplake 5y agoBy “debt” I meant bonds, US Treasuries for example. Is there a way to render them worthless only to Russia? Edit: In case it is not obvious, by not honouring future coupon and principal repayments