A dollar collapse is when the value of the US dollar plummets. Anyone who holds dollar-denominated assets will sell them at any cost. That includes foreign governments who own US Treasury . It also affects foreign exchange futures traders. Last but not least are individual investors. When the crash occurs, these parties will demand assets denominated in anything other than dollars. The collapse of the dollar means that everyone is trying to sell their dollar-denominated assets, and no one wants to buy them. This will drive the value of the dollar down to near zero.