What is the difference between forex rates and currency exchange rates? While these terms are often used interchangeably, they are actually quite different. Forex, or foreign exchange, is the market where currencies are traded. Currency exchange, on the other hand, is the process of converting one currency into another.
The forex market is open 24 hours a day. It is one of the largest and most liquid markets in the world. It has more than $5trillion dollars passing through it every day, but that’s a small part of what’s called the over-the-counter (OTC) market. OTC includes not only currencies but also many other financial instruments such as stocks, bonds, options, and futures. In fact, every time you make a purchase with a credit card or send money from one bank to another in an international transaction, you’re using an OTC instrument.
There is a big difference between forex rates and currency exchange rates. One of the most important things to understand about forex rates is that they are different for every country, so you will need to look up rates specifically for the currency you want to trade-in.
If you’re looking for live exchange rates for hundreds of currencies to use in your business or personal finances, it makes sense to turn to an API that can give you accurate information from a reliable source in real-time.
There’s also a big difference in how you can use data from an API to access forex rates. While currency exchange rates can be accessed with an API, the way that information is displayed may not be what you want.
Here’s an API that we recommend for you to get forex rates:
Exchangr
Exchangr is a REST API that leverages the JSON data format to provide consumers and companies with accurate currency exchange rates and conversions.
Exchangr’s forex API finds cross rates by connecting key currencies, in addition to giving common currency pairs. They go to great lengths to get accurate data from a range of reliable sources in order to cover even the most minor traded currencies. You may find a link to previous data coverage here. As a result, you can rely on the Exchangr FX API to manage even the most complicated business requirements.
To utilize the Exchangr API, create a free account and obtain your API key; no credit card is required. You can also use your Google account to sign up. The Exchangr API accepts 164 currencies and 8 cryptocurrencies from all around the world. They collect information from a variety of commercial forex data sources and banks. They then blend it using an algorithm before distributing it to customers. It gives data that is regularly updated at intervals ranging from 60 minutes to 60 seconds.
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Tips To Make Foreign Exchange APIs Less Overwhelming
Also published on Medium.