The European Exchange Rate Mechanism was also known as the "snake" because it

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As a precursor to the European monetary union, member countries agreed to create a common float known as the European Exchange Rate Mechanism. The ERM was also known as the "snake" because it changed its shape based on the fluctuation of the different currencies. According the ERM, a currency could only fluctuate up to 2.5% of its value in either direction; when this value was consistently surpassed, the mechanism would adjust the currency upward or downward, respectively, creating a snake-like structure.

The European Exchange Rate Mechanism Was Also Known as the "Snake