Under a clean float, the central bank does not intervene to defend a specific exchange rate or to keep the exchange rate within a particular band. Instead, the exchange rate is determined by supply and demand in the foreign exchange market.

A clean float is considered to be the purest form of a floating exchange rate system and is used by many countries around the world, including the United States, the United Kingdom, and Canada. It is often seen as a more efficient and transparent way to manage exchange rates compared to other systems, such as a managed float or a fixed exchange rate.