The market where one currency is converted into another currency is called the foreign exchange market, commonly referred to as the Forex market.
The Forex market is a decentralized global market that facilitates the buying and selling of currencies. In this market, currencies are traded in pairs, meaning that when you buy one currency, you are simultaneously selling another. For example, if you exchange US dollars for euros, you are involved in a currency pair that indicates how much of the second currency (euros) you can buy with the first currency (US dollars).
The Forex market operates 24 hours a day, five days a week, making it one of the most dynamic and liquid financial markets in the world. Factors such as economic indicators, interest rates, and geopolitical events can influence currency values, leading to fluctuations in exchange rates. Traders and investors participate in this market for various reasons, including profit from currency movements, hedging against foreign exchange risk, and facilitating international trade.