A multi-currency wallet (aka multiple currency wallet) is a digital tool that allows individuals and businesses to store, send, and receive multiple currencies within one platform. In comparison, some traditional banks require clients to have multiple bank accounts to achieve this goal. Therefore, such wallets are useful for currency management and payments.
Essentially, the right multi-currency wallet provides a single banking package without additional accounts or other digital wallets. Businesses could benefit from reduced foreign exchange fees and overall easier finance management.
Still, some companies and individuals may not be aware of all the benefits the best multi-currency wallets offer. Let the Genome team fix that! This article will explain how such a wallet works, its key benefits, and practical applications for individuals and businesses.
Why a multi-currency wallet matters
Currency management is not stressful if you only use two or three currencies and rarely do it. But imagine a freelancer who works with multiple clients and receives money each time in different currencies. It would be good if the bank converted it momentarily without a high fee, but this is rarely the case.
Or a business, let’s say, a shop online: potential clients can come from any part of the world with their currencies; of course, banks could just convert it for an additional fee, but sometimes it just takes something more precious – time.
A multi-currency wallet feature was created because it simplifies the payment process by allowing multi-currency transactions. It stores, sends, and receives various currencies in one place, eliminating the need for multiple bank accounts or costly fees. It will also be beneficial for your business partners and contractors – they can send money in their preferred currencies.
A multi-currency wallet has many benefits for:
Frequent travelers. They can easily switch between currencies without excessive currency conversion fees when making purchases abroad.
International freelancers. Freelancers can get paid in different currencies and withdraw funds.
Global businesses. It is important for your company to have cross-border transactions and international payments in different currencies, reducing the need for multiple banking relationships.
The simplest way to understand how essential a multiple currency wallet can be is with an example.
Imagine a global e-commerce business: it accepts payments from all over the world in various currencies, makes international transactions with suppliers from other countries, and receives money from business partners in their local currencies. If this business uses a reliable and cost-effective multi-currency wallet, it can avoid the tremendous overcharging from currency conversion, resulting in reduced transaction costs.
Or, how about this scenario: a freelancer based in Europe who works with US and UK clients. In recent months, the currency price rally has been huge, and every payment converted into euro may cause a loss of money on conversion because one currency was much stronger than another at the time the freelancer started working on the project. A multi-currency account will help mitigate this issue.
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How multi-currency wallets work
A multi-currency account allows users to hold and transfer different currencies within a single wallet. Technically, it’s like multiple accounts combined into one.
So, how does a multi-currency wallet work? Here’s a step-by-step breakdown of how these wallets operate:
1. Usually, a client can top up and accept payments to the multiple currency wallet through various payment methods:
Bank/money transfers – from domestic to international ones;
Credit and debit cards, with funds usually arriving within seconds;
Cryptocurrency or e-wallet transfers, although their availability depends on the provider.
Once added, funds can be stored in separate currency balances, allowing users to manage multiple currencies in one place.
2. Most wallets automatically create separate accounts for each currency. Users can:
View balances in different currencies;
Convert funds between currencies with real-time exchange rates;
Set preferred currency for transactions.
3. Some of the best multi-currency wallets also provide real-time rate tracking, allowing users to:
Convert currencies instantly at competitive rates;
Choose when to exchange based on market fluctuations;
Avoid costly bank exchange fees.
4. Naturally, users can spend or transfer money in multiple currencies using international transfers and cards linked to the wallet. If a transaction requires a different currency than what’s available, the wallet converts funds.
Key features to look for in a multi-currency wallet
The best multi-currency wallet may not exist yet. Moreover, not all multi-currency wallets offer the same level of functionality and security. To get the best experience, here are the features you need to consider.
Real-time currency exchange
If you want to use many currencies for payments, you should also be aware of conversion rates and be able to check them at any time. Some digital wallets apply mid-market rates, while others add hidden markups, increasing your expenses when you pay suppliers, send money, etc.
Look for digital wallets that update exchange rates instantly rather than applying fixed daily rates to your payments.
A user-friendly interface
“Anything that can go wrong will go wrong,” – Murphy’s law. A cluttered or complicated wallet interface can make managing multiple currencies not only frustrating but also lead to financial mistakes.
The dashboard of a multi-currency wallet should be clear and intuitive to track multiple currency balances and transaction history.
Online banking integration
Such integration is a good credibility sign, as it shows the wallet’s connectivity with other financial tools. Second of all, it is convenient. It allows smooth transfers and international transactions between your multi-currency wallet and other bank accounts.
Security measures
Financial transactions require top-notch security to prevent fraud and data breaches. Check out potential multi-currency accounts for these essential security features:
End-to-end encryption to protect sensitive data;
Multi-factor authentication for your operations (when you send money, for instance);
Fraud detection and real-time alerts for suspicious activity.
For instance, if a hacker attempts to access your wallet from an unfamiliar location, 2FA can prevent unauthorized logins by requiring a unique code to be sent to your mobile device.
In 2024, a prominent company pathology provider, Synnovis, was hit by a ransomware attack, which disrupted services in southeast London and postponed thousands of appointments and operations.
According to officials, this could have been prevented by simple two-factor authentication.
Transparent fees and limits
Last but not least, it is important to consider the prices and transaction fees for the multi-currency wallet services. Hidden fees and charges can quickly eat into your funds when you pay, send, and receive funds. Thus, look for a provider that has lower fees.
Multi-currency wallets for businesses
As we mentioned previously, a multi-currency account can be very beneficial for any company that deals with many currencies in their day-to-day corporate operations.
If you’re looking for an advanced multi-currency wallet, why not try Genome? We are an electronic money institution that provides online wallets for individuals and companies along with many other financial services.
Your company can start a business wallet on our platform online. Once your wallet is live, you get access to its multi-currency features right away!
Inside Genome, you can have accounts in 11 major currencies: EUR, USD, GBP, PLN, CHF, JPY, CAD, CZK, HUF, SEK, and AUD. Clients can start up to 5 accounts in each currency listed.
All the currencies can be used for international money transfers to send and receive money from over 40 countries. You just need to check if your company is eligible to send and receive payments via SWIFT.
Moreover, you can also link your different accounts in EUR, USD, GBP, PLN, CHF, CZK, HUF, and SEK to Genome’s virtual and physical debit Visa cards. This way, you can pay on the go, online, and contactless with beneficial rates!
And these are only some of the benefits you get with Genome’s business multi-currency account. You also get access to dedicated IBAN accounts, instant payments with SEPA, batch transfers, and more!
Steps to set up and use a multi-currency wallet
The setup for a multi-currency wallet may differ between providers. With Genome, it is quite simple – you get multi-currency wallet access once your personal or business wallet is approved.
Here’s what you should do:
1. Select the wallet type you want to start – personal or business, and proceed with the registration process. You can check Genome’s detailed tutorial on how to do that.
2. Once your wallet is available, a EUR IBAN account will be available to you by default.
3. To add more accounts in different currencies, you simply need to go to the dashboard and click the Plus sign (+) next to the personal accounts/business accounts title in the upper left corner.
Select one of the currencies you’d like to use and add the account – it will be available to you instantly!
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in Genome online
Advanced tips for your wallet
To enhance your multi-currency wallet even more, you can:
1. Set custom exchange rate thresholds. It means that, for your convenience, you will receive alerts or automatic conversions when the rates hit a preferred level or time.
For example, if you are a trader who follows conversion rates, you can set an automatic conversion threshold of EUR = 1.08. This way, funds are converted only when the exchange rate hits that price.
2. Automate payments. Don’t want to miss any important payments? Schedule transfers beforehand in the currency you prefer.
For example, a company with monthly vendor payments in GBP can schedule transfers from its GBP and USD balance at a set date each month.
3. Use budgeting tools. Some wallets offer expense-tracking and budgeting tools that help categorize and analyze spending in different currencies.
Final thoughts
A multi-currency wallet is more than just a convenience, it’s a powerful financial tool that helps businesses manage global and local transactions efficiently. If you’re looking for a multi-currency wallet for your company that supports 11 currencies,allows you to pay internationally, and Visa cards, look no further than Genome!
FAQs
Can I hold multiple currencies without converting them?
Yes, that is the point of a multi-currency wallet. It allows you to hold funds in different currencies without automatic conversion.
Are there hidden fees for multi-currency wallets?
It depends on the provider – always compare the pricing and go for a financial institution that offers transparent, lower fees. Genome offers transparent pricing with competitive fees and no hidden charges.
How secure are multi-currency wallets?
Like any other money account, it depends on the bank and provider. Reputable institutions ensure high security with two-factor authentication (2FA), encryption, and compliance with financial regulations.
Which currencies are commonly supported?
The best multi-currency wallets support major global currencies like EUR, USD, GBP, CHF, and JPY, as well as other widely used currencies.
Is there a limit to how many currencies I can store?
Limits vary by provider. Some wallets have restrictions on the number of supported currencies, while others do not.
Are multi-currency wallets just for businesses?
No! While businesses benefit significantly from multi-currency wallets, freelancers, frequent travelers, and remote workers also use them to make international payments and avoid conversion fees.
