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However, the vast majority did not survive. Confederate currency suffered from extreme hyperinflation, poor paper quality, heavy circulation, and widespread destruction or burning after the South's defeat. Surviving examples like this one - especially with clear signatures and good eye appeal - are extremely scarce relative to how many were produced. These notes were issued by the Confederate government as fiat currency (not backed by hard assets like gold or silver). As the war progressed and Confederate defeat became likely, the notes rapidly lost value. After the war, they became essentially worthless as legal tender, leading to low survival rates. Civil War / Confederate memorabilia collections. Anyone building a set of Southern currency. Catch 961 Collectibles - Quality coins, currency, and historical treasures from Greenville, SC. Thanks for looking - happy collecting!