Why did confederate money lose value?

Answer 1

Confederate money lost value primarily due to the South's military defeats and economic instability during the Civil War. As the Union blockaded Southern ports, the Confederacy faced severe shortages of goods, leading to rampant inflation. Additionally, the lack of backing by gold or silver reserves and the overprinting of currency further eroded confidence in Confederate money. Ultimately, by the war's end, the currency became nearly worthless, as the Confederacy was unable to sustain its economy.