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Most foreign exchange dealers are banks, so this behind-the-scenes market is sometimes called the "interbank market", although a few insurance companies and other kinds of financial firms are involved.

The trade in London began to resemble its modern manifestation.

By 1928, forex trade was integral to the financial functioning of the City.

Continental exchange controls, plus other factors, in Europe and Latin America, hampered any attempt at wholesale prosperity from trade In Japan, the Foreign Exchange Bank Law was introduced in 1954.

As a result, the Bank of Tokyo became the centre of foreign exchange by September 1954.

The foreign exchange market works through financial institutions, and it operates on several levels.

Behind the scenes banks turn to a smaller number of financial firms known as "dealers", who are actively involved in large quantities of foreign exchange trading.

If a Greek coin held more gold than an Egyptian coin due to its size or content, then a merchant could barter fewer Greek gold coins for more Egyptian ones, or for more material goods.