Foreign exchange is the creditor's rights held by the monetary management authorities (central bank, monetary management institutions, foreign exchange stabilization fund and Ministry of Finance) in the form of bank deposits, treasury bonds and long-term and short-term government securities. , which can be used when the balance of payments is in deficit. Including foreign currency, foreign currency deposits, foreign currency securities (treasury bonds, treasury bonds, corporate bonds, stocks, etc.). ) and foreign currency payment vouchers (bills, bank deposit vouchers, postal savings vouchers, etc.). ) Foreign exchange is a system for foreign exchange trading and speculation. With the progress of science and technology, foreign exchange quotation, inquiry, purchase, sales, delivery and settlement are all carried out through computer networks, making transactions increasingly electronic and networked. Therefore, foreign exchange is an invisible market, a computer paperless market.
Foreign exchange trading platform refers to some independent traders with certain strength and credibility in the foreign exchange market, who constantly quote the buying and selling price of currency to investors (that is, two-way quotation), and accept investors' buying and selling requirements at this price except legal holidays. The platform can hold its own funds to trade with investors. When there are few transactions in the market, buyers and sellers do not need to wait for the appearance of counterparties, as long as there is a platform to undertake transactions, they can reach a transaction. This will form an uninterrupted business and maintain the liquidity of the market.
The main advantage of the foreign exchange trading market lies in its high transparency. Due to the huge transaction volume, the main funds (such as government foreign exchange reserves, multinational consortium fund exchange, foreign exchange speculators fund operation, etc. ) has a very limited impact on market exchange rate changes.
Article 45 of the Regulations on Foreign Exchange Control in People's Republic of China (PRC), whoever buys or sells foreign exchange privately, buys or sells foreign exchange in disguised form, profiteers, or illegally introduces foreign exchange trading, shall be given a warning by the foreign exchange administration authorities, and his illegal income shall be confiscated, and a fine of less than 30% of the illegal amount shall be imposed; If the circumstances are serious, a fine of not less than 30% of the illegal amount but not more than the equivalent value shall be imposed; If a crime is constituted, criminal responsibility shall be investigated according to law.