Quick answer
FX conversion is exchanging one currency for another, for example USD to EUR in your account, at an exchange rate plus any fee. On Volity, FX conversion costs a flat 1% across all currencies, with no hidden spread markup, so you can hold and convert between currencies in one multi-currency wallet transparently.
The FX conversion fee on Volity is 1% on any wallet currency swap. When you convert between currencies (USD to EUR, BTC to USDT, EUR to BTC, etc.), Volity applies the prevailing market rate plus a 1% spread. The conversion is instant and the new balance is immediately usable. For comparison, typical bank FX is 2-4% effective; major payment apps are 0.5-1.5%.
How the Volity FX conversion fee works
When you initiate a conversion in your wallet:
- Volity displays the current market rate for the currency pair (e.g., EUR/USD spot, BTC/USD spot)
- A 1% spread is added to the market mid to produce the conversion rate
- You see the exact rate and the resulting balance before confirming
- On confirmation, the balance is converted instantly, no settlement delay
The 1% is the only cost. No additional fees, no per-transaction commission, no minimum or maximum.
FX comparison across providers
| Provider | Effective FX cost on $1,000 conversion |
|---|---|
| Volity wallet (any pair) | $10 (1%) |
| Wise / Revolut (most pairs) | $5-15 (0.5-1.5%) |
| Banks (most retail accounts) | $20-40 (2-4%) |
| Western Union (cash remittance) | $30-70 (3-7%) |
| Crypto exchange (BTC to USD) | $10-30 depending on spread |
Volity’s 1% sits between fintech payment apps (Wise, Revolut) and traditional banks. For multi-asset conversions (fiat to crypto, crypto to crypto), Volity’s 1% is competitive with major crypto exchanges.
What the 1% FX conversion fee means in practice
Examples on $10,000 conversion:
- USD → EUR: $100 conversion cost; you receive ~€9,000 worth
- USD → BTC: $100 conversion cost; you receive ~$9,900 of BTC at current price
- BTC → USDT: $100 conversion cost; you receive ~$9,900 of USDT
- EUR → USDT: $100 conversion cost; you receive ~$9,900 of USDT
The 1% applies uniformly across pairs. There is no premium for unusual pairs or stablecoin conversions.
When 1% matters and when it does not
Matters when: – High-frequency currency switching (each swap costs 1%) – Large notional conversions ($50,000+ where 1% = $500+) – Compounding effect over many trades
Does not matter much when: – Small one-time conversions ($100-$1,000) – Holding the converted currency long-term (the 1% amortises across the hold period) – Avoiding alternative FX costs that would be higher (bank 2-4%)
Strategies to minimise FX cost
1. Fund in the currency you trade in. If you primarily trade BTCUSD, fund in USD. No conversion needed.
2. Hold multiple currencies long-term. If you do not want to repeatedly convert, hold meaningful balances in USD, EUR, USDT, BTC simultaneously. Use the currency that matches your immediate need.
3. Batch conversions. Instead of converting $100 ten times, convert $1,000 once. Same total fee but fewer transaction events.
4. Direct crypto deposits avoid fiat-to-crypto FX. If you already hold crypto, deposit it directly rather than depositing fiat and converting.
What the 1% does not include
- Trading spread on Volity MT trades. Trading is a separate operation with its own spread cost (spread is the bid-ask gap on the trading pair)
- Network fees for on-chain crypto deposits or withdrawals. Those go to the blockchain network, not to Volity
- Sending bank’s currency conversion if your fiat source is a non-EUR/USD bank account that converts at the bank’s FX before reaching Volity
The 1% is the wallet’s own conversion rate. Other fees are separate.
Tax implications
Currency conversion is typically not a taxable event for fiat-to-fiat moves. Crypto-to-crypto and fiat-to-crypto conversions are typically realised disposals in most jurisdictions, triggering capital gains tax on the crypto side. Volity provides annual statements; consult a local tax advisor.
Key takeaways
The Volity FX conversion fee is 1% on any wallet currency swap. This FX conversion fee covers all pairs: USD↔EUR, fiat↔crypto, crypto↔crypto. The FX conversion fee is added to the prevailing market mid; no per-transaction commission, no minimum.
Three implications of the 1% FX conversion fee on Volity:
- Cheaper than typical bank FX (2-4% effective) but slightly above the lowest fintech apps (0.5-1.5%)
- Avoid the FX conversion fee by funding in the currency you trade in
- For repeat FX conversion fee exposure across many small swaps, batch into fewer larger conversions
Money returning from an external trading venue arrives as a dollar stablecoin rather than your home currency, so the same conversion step applies at the end of the journey. Our guide to withdrawing from an external trading platform sets out what has to be closed or settled before any balance can move at all.
Sources
Related Volity payments pages
- SEPA Crypto Transfers: Free EUR
- Crypto Deposit Guide: BTC, ETH, USDT, USDC
- Free Internal Transfers: Instant Volity-to-Volity
Related Volity wallet pages
- Multi-Currency Wallet
- USDT Wallet
- Buy Crypto with Card
- Sell Crypto for Cash
- Crypto to Fiat Off-Ramp
- Fiat to Crypto On-Ramp
- Send Crypto on Volity
Frequently asked questions
What is the Volity FX conversion rate?
1% on conversions between any two wallet currencies (USD, EUR, BTC, ETH, USDT, USDC). The 1% is added to the prevailing market mid. Volity does not charge additional fees on conversions.
How does Volity’s 1% FX compare to banks?
Better. Typical bank FX is 2-4% effective when you include the spread, account fees, and conversion margin. Wise and Revolut are 0.5-1.5% on most pairs. Volity at 1% sits between fintech apps and banks; for crypto-included conversions, Volity is competitive with major crypto exchanges.
Is there a minimum or maximum FX conversion on Volity?
No specific minimum or maximum on the conversion itself. Subject to your available balance.
Does Volity charge separate fees on top of the 1% FX?
No. The 1% is the entire conversion cost. No per-transaction commission, no surcharge.
How do I lock in a favourable FX rate on Volity?
When you initiate a conversion, the rate displayed at confirmation is the rate you get. The conversion is instant after confirmation, so the rate does not move between confirmation and settlement.
Can I avoid the 1% FX?
Yes, by funding directly in the currency you want to use. Fund USD, trade USD pairs; fund crypto, hold or trade crypto. The 1% applies only to conversions between currencies inside the wallet.
Is currency conversion taxable on Volity?
Fiat-to-fiat conversion (USD to EUR) is typically not a taxable event. Crypto-to-crypto and fiat-to-crypto conversions are typically realised disposals for tax purposes. Volity provides annual statements.
