What determines the currency for Destination Charges when using on_behalf_of?

The correct determination of the currency for Destination Charges when using the "on_behalf_of" parameter is based on the country of the Connected Account. This is because Destination Charges are designed to route payments to the Connected Account while adhering to the local regulations and currency requirements applicable to that account's location.

When a Connected Account is established, it is linked to a specific country, which dictates the fiat currency in which transactions will typically occur. Stripe uses the country of the Connected Account to identify the appropriate currency for processing payments and managing financial compliance. This strengthens the integration of payment processing with the diverse range of currencies and countries supported by Stripe, allowing for seamless transactions across borders.

Understanding this response illustrates why the country of the Connected Account is critical in establishing the currency used in these transactions. The other concepts like the country of the Platform Account, currency set during the transaction, or the user's default currency do not directly influence the choice of currency for Destination Charges in this scenario.