Currency exchange is the process of converting one type of currency into another. This is often necessary for international travel, trade, or investment. For example, if you are traveling from the United States to Europe, you would need to exchange your US dollars for euros to make purchases. Currency exchange rates fluctuate based on various factors, including economic conditions, interest rates, and market demand. These rates determine how much of one currency you will receive in exchange for another. Currency exchange can be done at banks, exchange bureaus, or online platforms, each offering different rates and fees.