HOW TO BUY ZRX
0x is a type of open protocol that functions on the Ethereum blockchain. Its cryptographic unit is called ZRX. Its purpose is to provide a decentralized digital asset exchange that allows the creation of unique smart contracts. A protocol is the unifying rules used by systems and networks to seamlessly link and transfer data with each other. As it purely works as the conduit between networks, it is also considered the standard messaging template that allows transacting entities to receive and deliver digital assets and virtual coins.
Described as an off-chain order relay with on-chain settlement, 0x has become the ultimate system for ERC20 (Ethereum) tokens. This is owed mainly from its ability to relay assets between makers and takers. Moreover, the system regarded as a low friction exchange of Ethereum-based assets enables a highly secured method of transaction.
As ZRX is not fiat-supported; Bitcoin or Ethereum is necessary for purchase. Since these two virtual coins remain to be the existent gold and silver of the altcoin industry, traders may first purchase these and convert it to ZRX afterwards. The ZRX token can be purchased with ease on Beaxy. Follow the steps below to complete a ZRX transaction.
1. Open a Beaxy account
Visit Beaxy.com and begin by filling out the registration form. Next, submit your identification documents to complete KYC.
2. Fund your account
Once your account is verified, deposit or buy Bitcoin so that you can access the ZRX-BTC trading pair.
3. Buy or Sell ZRX
Now that you have BTC in your account, go to the ZRX-BTC trading pair on Beaxy and enter an order for the amount of ZRX you would like to own. Finish the process by clicking the buy button.
The ZRX volume is well dispersed across these exchanges. This means that it does not rely on a single market. Note that it also projects intensive level of liquidity when it comes to individual order books. To give an example, ZRX/BTC trade in Binance has a high turnover.
ZRX VALUE AND PRICE
2017 had seen a surge in cryptocurrencies. Many of the newly introduced cryptocurrencies had ran bullish as this year became the golden age of virtual coins. ZRX token is one of the many cryptocurrencies that made laudable price increase during this year. The 0x team held its historic high back in August 2017 when it sold a total of 500 million ZRX tokens. During that time, it circulated around web space with a value of $0.07 each unit, earning up to $24 million dollar within the 24-hour trading timeframe.
What’s commendable about ZRX is it did not conduct any marketing ploy. After it was introduced to the public, registered merchants were entitled to a total of 6.77 ETH worth of ZRX tokens. This value prompted a larger distribution of ZRX tokens. After this, the team had monitored ZRX tokens to have reached a total of 13,000 Ethereum addresses.
Cryptocurrencies trend in groups and large market fluctuations had dragged the value of ZRX. After the markets ran bearish, it consistently descends in value. Recent postings have it that its value is down at $0.160732 (as of Friday, June 19, 2020, 4:04 AM GMT). But despite its downward movement, it still gets historic highs.
ADVANTAGES AND DISADVANTAGES OF ZRX
We learned a lot about the cryptocurrency ZRX. However, each digital coin has its own advantages and disadvantages, let’s consider them.
HACK RESISTANT SYSTEM
The issue of hacking is nothing new in the virtual coin industry. Investors have heard of large hacking activities including the case of Mt. Gox, Bitfinex, and Coincheck. This pressing issue had made investors skeptical about the feasibility of virtual coins. Since it is susceptible to anomalous activities, many opt out from engaging in centralized exchanges. In addition to this, majority of these exchanges bear negative feedback. As these exchanges do not offer keys to wallets, it automatically leaves your funds accessible to hackers.
With 0x protocol, this would not be an issue. This is mainly from the unique cryptographic function of the system capable of securing the tokens of the users. Until one exchanges them with another virtual coin, tokens and funds remain safe inside the wallet to which you own your personal key.
DEVOID OF DOWNTIME
Far from the common issue of centralized exchanges suffering from downtime, the 0x protocol managed to resolve this issue. Majority of centralized exchanges drastically affect traders’ experiences and this has impacted on-chain decentralized exchanges. Such conflict could be attributed to the congested Ethereum network.
The 0x protocol does not suffer from this discrepancy since it remains off the blockchain until an order is placed. In relation to this, the protocol does not charge a fee. The only fee that users may encounter is the service charge asked by the relayers. Users also have to pay for the gas in order to carry out a transaction. This kind of structure made 0x more efficient and a better option than centralized exchanges.
The system is bound to ERC-20 coins only. But since the Ethereum network is set for upgrade, the company that developed 0x plans on detaching the system from the Ethereum network. This could lead to wider collaborations with other independent blockchains in the future. However, the possibility of this depends mainly on ZRX token holders. And if it happens that the protocol developers acquired considerable amount of votes, this may increase the price and value of ZRX token. This came to be one of the interesting features that this system holds.
After careful review of the 0x protocol, researchers at Cornell Tech’s Initiative for Cryptocurrencies and Contracts have found drawbacks. The most pressing of which is its incomplete protocol code. 0x claimed that it is planning to disperse coins using the fully-functional and audited smart contracts. This led investors into believing that the system is fully operational. But IC3 researchers highlighted that the 0x did not provide any concrete framework on how to implement the ZRX token in a proposed governance scheme.
Best XRX wallet – how to choose?
Once you already have your first ZRX token, you won’t find it hard to store it since it is considered an ERC-20 token. This means that its flexibility level is high and any ERC-20-powered wallet is compatible with ZRX. The most popular of which are MyEtherWallet and MetaMask. It can also be stored in the Trezor and Ledger hardware wallets. More so, ZRX holders may also use software wallets including the popular Exodus desktop wallet.
As 0x attempts to singularize the features of both decentralized and centralized exchanges, it also managed to remove the weaknesses they carry. Decentralization holds strong security while off-chain relayers offer low-cost charges that traders usually get from centralized exchanges. This feature has put 0x as the most sought-after decentralized exchange. But the question is: how long will it maintain this status now that market competition is growing? The answer to that remains to be seen.