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They're not talking about Hyrule's relationship to Termina, they're talking about the various races within both regions, relating to each other. Like Gorons and Zoras and Hylians and Gerudo, in both of these places.

Well, they frequently share large land boarders, trade routes, and waterways. Plus, multiple games allude to them all being part of the same kingdom despite having their own rulers, so it makes sense to share a currency. That being said, they frequently have a much stronger identity in barter...