In a Destination Charge, the currency is determined by which account's country by default?

Master the Stripe Fundamentals Exam with engaging flashcards and multiple choice questions. Each quiz question includes detailed explanations to enhance your understanding. Prepare effectively and ace your exam!

Multiple Choice

In a Destination Charge, the currency is determined by which account's country by default?

Explanation:
In a destination charge, the platform handles the actual charge with the customer and then transfers the funds to the connected account. Because the charge is created on the platform account, Stripe uses the platform’s currency by default, which is determined by the platform’s country. The connected account simply receives the funds in that currency (subject to any platform fees you set). If you need the connected account to be charged in its own currency, you’d typically use a different flow, like a direct charge. So the default currency comes from the platform’s country because the platform is the one processing the charge.

In a destination charge, the platform handles the actual charge with the customer and then transfers the funds to the connected account. Because the charge is created on the platform account, Stripe uses the platform’s currency by default, which is determined by the platform’s country. The connected account simply receives the funds in that currency (subject to any platform fees you set). If you need the connected account to be charged in its own currency, you’d typically use a different flow, like a direct charge. So the default currency comes from the platform’s country because the platform is the one processing the charge.

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