Base currency
The first currency in a pair. In USD to INR, USD is the base currency.
Currency glossary
Understand the terms behind exchange rates, currency pairs and international money movement.
Quote currency
The second currency in a pair. In USD to INR, INR is the quote currency.
Exchange rate
The value of one currency expressed in another currency.
Reference rate
An informational rate published by a data source for comparison and calculation purposes.
Mid-market rate
A market reference between buy and sell prices, often used as a benchmark before provider fees.
Spread
The difference between a provider buying rate and selling rate, or between a reference rate and the rate offered to a user.
Currency pair
Two currencies shown together for conversion, such as EUR to USD or USD to INR.
Volatility
The level of movement in an exchange rate over time.
Remittance
Money sent from one country to another, often by workers, families or businesses.
Foreign exchange
The conversion of one currency into another, commonly shortened to FX or forex.
Central bank
A national or regional authority that manages money supply, interest rates and monetary policy.
Settlement
The process by which a financial transaction is completed and funds are delivered.