1. The form is different: users go to the bank to buy foreign currency, and the bank will have a corresponding selling price, which is the price to be accepted. When a bank converts foreign currency into local currency, the bank purchase price applies. The difference between the buying price and the selling price is the bank's profit;

2. Different exchange rates: the buying price and selling price are determined from the perspective of banks, not from the perspective of customers; In addition, these prices are foreign currency, not local currency. The difference between the bid price and the selling price represents the typical return 1% to 5% for taking risks. The buying and selling prices used by banks to buy and sell foreign exchange are also called inter-bank profits, which are actually the buying and selling prices in the foreign exchange market.

What are the characteristics of the foreign exchange market?

1. Spatial unification refers to the use of foreign exchange transactions such as telephones and telegrams by countries in the foreign exchange market, which makes countries more and more closely linked and forms a unified global foreign exchange market. Time continuity means that the foreign exchange market is a day and night market, which can circulate day and night.

2. High risk and fluctuation: There is exchange rate fluctuation in the foreign exchange market, because the exchange rate refers to the change of the exchange rates of the two countries, which will also cause the decrease of one currency and the increase of the other. This fluctuation will also have a certain impact on users.