This paper investigates a  model  of strategic interactions in financial     networks,  where the decision by one agent on whether or not to   default   impacts the  incentives  of other agents to escape default. Agents’ payoffs are determined by  the clearing mechanism    introduced  in the seminal contribution of  Eisenberg and Noe (2001). We  first show the existence of a  Nash equilibrium of this default game.  Next, we   develop  an algorithm  to find  all  Nash equilibria   that relies   on the  financial  network structure. Finally, we    explore  some policy implications    to  achieve  efficient coordination.