Free foreign exchange market

Free foreign exchange market

The free foreign exchange market refers to the foreign exchange market in which any foreign exchange transaction is not controlled by the competent authorities of the host country, that is, there are no restrictions on the amount, exchange rate, currency and capital entry and exit of each foreign exchange transaction, which is completely determined by the market supply and demand.

Main features of free foreign exchange market

First, foreign exchange trading is not controlled.

Second, the transaction process is open. For example, the foreign exchange markets of the United States, Britain, France and Switzerland are all free foreign exchange markets.