How can we exchange currencies via smartphone?

European edition

Bureau de change- the old way of exchange

How the exchange offices work actually?

Here is the universal business model, which has been adopted and on which most exchange offices work. In practice, they realize their profits by buying foreign currency and then selling the same at a higher exchange rate and can charge a certain fee or commission on the purchase/sale. Bureaux shall also monitor their exchange rates through which they trade and changing market conditions, as well as the rates quoted by competitors, following state currency controls and other provisions. Exchange rates charged at bureaux are usually linked to available prices for large interbank transactions and adjusted to ensure profit. This model of exchange offices can be upset by currency when there are many more buyers than sellers (or vice versa) because they believe that a particular currency is overvalued or undervalued. In other words, if many people start exchanging lev for euro or euro per lev and accordingly the currency is drastically devalued, the exchange offices would suffer losses. The truth is that the bureaux are already disappearing not so much because of the business model they use, but rather because of the so-called technology precisely in this sector of the economy. Let’s take a look at how this is happening…

Why don’t we need them anymore?

As mentioned above, it’s 2020. The technology has entered the field of finance quite seriously, through which there is already a whole new industry called fintech. This is a huge threat to most such desks because in practice we do not need them. The digitization of our finances offers us a much faster and easier exchange of currency, with very small ones, or without any fees and charges.

In this regard, the tools offered by the Fintech companies completely invalidate the use of exchange offices. The most accessible of these tools is the so-called digital wallet, which is already something if necessary. Let’s look at how this tool solves quite a lot of our financial management and naturally — currency exchange

Exchange currency through your digital wallet

Currency exchange through a digital wallet is done quite quickly and easily, an example of such will be that of iCard. We will look step by step at how this financial instrument works and how to exchange from one currency to another.

Three easy steps to exchange currency:

  1. Install your phone wallet using the Google/App Store

2. You can verify yourself with an ID card or other IDENTITY document by passing face recognition

3. You already have your IBAN in BGN, it remains for you to open another in euro or other currency that you want to exchange (in this wallet you can open accounts up to 7 currency exchanges)


To withdraw or operate in the given currency (take an example in euros), you will also need a physical card, of course. Her order becomes completely free of charge for the first one, as well as the delivery itself. If you need to pay mainly online, you can get a virtual card with which you will operate in the selected currency. The digital wallet is a financial instrument with more than one purpose, so this is only the “tip of the iceberg”. Finance and technology are moving boldly forward, for us as a nation it is essential.



Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store