If you are not a newcomer to the crypto market, probably, you have heard of the 0x protocol. Those guys with experience, “trading masters,” who have their own crypto assets and who are interested not only in fiat currencies but also in digital assets as well, most likely faced the notion of “0x protocol”. And even if you meet these words in terms of exchange for the first time, even if your knowledge, for now, is limited to bitcoin or ethereum tokens, getting acquainted with 0x protocol and ZRX tokens is a useful step towards the crypto consciousness.
What Is 0x Protocol?
- Basically, the 0x protocol is an opportunity for the peer-to-peer exchange of assets. Token holders exchange digital goods based on the Ethereum blockchain.
- This system was built to make cryptocurrency exchanges easier. 0x protocol deals with decentralized applications, thus making decentralized exchange between different kinds of users (individual or group, like some company) possible.
- You might be wondering what kind of tokens can be exchanged via this open protocol. The answer is simple: you can keep in the wallet and exchange tokens of the ERC20 type. ERC20 tokens were created to solve the problem of mismatch between the different forms of Ethereum tokens.
- With the appearance of ERC20 type token, the creation of other tokens on top of the blockchain started., which helped to overcome the emerged difficulties.
0x Decentralized Exchange Obvious Advantages
Thanks to this 0x protocol, the trade and decentralized exchanges of ERC20 type tokens became real, and this trade became even more secure. High confidentiality provided by the smart contracts available via the open protocol and increased exchange functionality made 0x protocol a matter for the investment advice.
There is a nice feature provided by this protocol: your crypto portfolio can be as diverse as it can be. It means that fiat currency, other goods, shares, real estate, and so on can be represented as tokens and used in trade and peer-to-peer exchange. This is another reason to take a closer look at the protocol, which gives it additional value.
Thus, the system manages to maximize the efficiency of Ethereum token usage. But this is not the only important issue concerning exchange networks. If the trade goes on a centralized platform, it might become a subject of hacker attacks and online crime. Retail investor accounts might be damaged, the money or other assets might be lost, and nobody wants that to happen. But, this is an issue when the third parties are involved. 0x system has its value for not being vulnerable towards such aggressive actions, making a trade here a pleasant and safe experience.
Another issue (or, better say, two issues) to be considered here is speed and liquidity. Saying “speed,” we mean that the rates of speed of processing the contracts independently of trading volume are higher here. Besides, the overall network is not being that overloaded, in comparison to, for instance, Oasis. Another positive feature of it is that communications between liquidity providers and market makers and defi applications are well-established (a market maker is a subject (individual or collective) involved in the trading activity to increase one’s capital obtaining assets with the best prices possible and establish the price one wants to get the higher profit).
Some History
Originally, the 0x system began operating in 2016. It was developed by Will Warren and Amir Bandeali, which both later became CEOs of 0x Labs. The process of “getting on their feet” was accompanied by Polychain Capital and Pantera Capital.
But when we say 0x protocol, we do not only refer to the decentralized exchange system, which can be integrated into crypto wallet representatives or portfolio management platforms. Saying “0x”, we have to remember about ZRX tokens as well.
What Do I Have To Know About ZRX Tokens?
ZRX is a native cryptocurrency of the platform. ZRX token, launched in 2017, by 2020 managed to achieve more than 3/4 of its overall emission. Just as the majority of cryptocurrencies, ZRX has its maximum, in this case, equal to a one billion ZRX.
According to the data provided by Will Warren himself, 50% of ZRX tokens were sold to the investors, and 15% got reserved by Ox’s core development company.
0x Price, Market Cap, And More Details
At the moment, the 0x price is equal to 1.539 dollars USD. The overall trading volume is equal to 135 million dollars. In May 2021, the market cap of ZRX is represented by an amount equal to 1.37 billion dollars.
If you do not know what the market cap is, let us briefly introduce this notion to you. Market capitalization is the total value of coins. In our case, ZRX coins are mined. To calculate the market cap, you have to multiply the number of circulating coins by the price. By the price, we mean a price of a single coin.
As for the supply, the circulating supply is demonstrated as 841 675 022 ZRX coins and the total supply, as was mentioned earlier, is one billion ZRX coins.
Where Can One Buy ZRX?
ZRX is a currency available on many trading platforms at the moment. According to the public data, you can buy ZRX on more than two hundred services. The price of ZRX might slightly differ, but, generally, this is a rather available and affordable currency, especially if you are just at the beginning of your journey in the crypto world.
The most popular options where you can buy ZRX now are Binance, Coinbase Pro, BitMax, and several others. ZRX token can be exchanged for multiple other cryptocurrencies, including Bitcoin BTC, Ethereum ETH, Tether. Fiat currencies are available for trading as well — you can buy ZRX for USD, EUR, or KRW.
Of course, on the platforms, you will have to pay trading fees, a transaction fee is required, but ZRX holders might indeed benefit from investing in this currency. According to the data provided by ZRX forecasters, the ZRX token has a high chance to increase in value and become a “top performer” again.
There are great user-facing applications, which can be used, first of all, for informational purposes, to learn more about this or that cryptocurrency, and its key characteristics, and, second of all, for trading and payment.
To use ZRX for CFD trading, you will have to pay a protocol fee, but this is a common practice. Trading CFDs, or contracts for difference, refers to buying and selling contracts, speculating on the price, with no need for underlying assets to be bought.
There is also a way to earn ZRX via staking. Some platforms provide staking rewards just for keeping your assets on the service. This is a nice passive income that is never excessive.
The Final Word
We hope that this article managed to serve informational purposes and increased your knowledge in the area of 0x protocol and ZRX currency. We are not here to force you to do something, and we can only share trading advice: take a closer look at ZRX. Maybe, this currency will bring you more than you think.
FAQ
Is Ox Zrx a good investment?
The general investment advice concerning ZRX is that this currency is indeed a good investment. 2021 forecasts claim that ZRX is about to increase in value. Besides that, at the moment, this cryptocurrency is an affordable option for beginners, so if you do not have much experience in crypto trading, you definitely will pay attention to ZRX — this currency is worth it.
What Makes 0x Unique?
There are several points making 0x a unique phenomenon. Firstly, it is capable of dealing with ERC20 and ERC-723 tokens. It can also be used for such trade platforms as eBay and for investment management. Thus, it serves numerous functions, remaining a “safe and secure territory.”
