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Let's consider a pair of currencies, e.g. EUR -> USD. Are there one or several interbank currency exchange rates?

I see that both Revolut and OFX claim to use the interbank currency exchange rate, but when I look at their exchange rate, they differ slightly (e.g., currently, 1 EUR = 1.0935 USD on Revolut vs. 1 EUR = 1.0949 USD on OFX). I don't know whether this is due to quote lag or different interbank currency exchange rates.

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    Does this answer your question? Historic Forex Rates - why are they different and what's the source of truth Commented Apr 4, 2023 at 16:14
  • Per linked answer to similar question - there is no singular datafeed / 'source of the truth', small timing diffs can have an impact, and methodologies used by the data provider could also differ [see discussion there on some reasons why]. Commented Apr 4, 2023 at 16:15
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    And what exactly is 'The Interbank Currency Exchange Rate'? There is no mandated rate that banks will exchange with eachother [unless you are referring to a country with a controlled currency, in which case you can pull the government rate, unless you are referring to grey-market rates... etc. etc.]. I expect that such a reference would be contrasting with a 'retail rate' that you would get if you walked into a bank (probably 1-2% worse than what you see on a data feed). Commented Apr 4, 2023 at 16:18
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    I retracted my close vote as your last question on this is the better link, with a more comprehensive answer. I can't link that one as I've already attempted to close as duplicate, but no value in what I've written in these comments that isn't already there. Commented Apr 4, 2023 at 16:22
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    I would imagine there could be as many interbank exchange rates as there are pairs of banks trading in the currency. What exactly are you looking for?
    – littleadv
    Commented Apr 4, 2023 at 17:27

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There's no reason to think there's a central universal authority managing exchange rates between all the banks in the world. While some conspiracy theorists claim there's such an authority, I've seen no evidence of its existence. As your own empirical evidence suggests, there's more than one "interbank exchange rate", and my logic would suggest that there could be as many such rates as there are pairs of banks in the world trading in the currency.

The reason "interbank rate" is used for reference is because of large volume of trading between banks, compared to retail traders. As such, interbank rates are less susceptible to manipulation or influence.

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