Project 0x! Future of exchanges!
Hi guys, i found another interesting project that is still hiding from many eyes. As you all know there are dozens of crypto ICO's launching every day. Lot of them are advertised all around the crypto-related internet pages, but only 1-5% of them will succeed in long term. I have noticed that the most successful ones are those who do not advertise, but gain community driven popularity. So let me introduce Project0x, which is open source protocol that allows decentralized crypto-assets exchange without any local instance and less fees. Many of us have faced problems even with most popular exchanges like Bittrex, Poloniex, Bitfinex and others. Even a week ago i lost 0.4BTC potential gain, just because of 14h delay on my ethereum deposit to Poloniex exchange. Also everyone remembers Mt.Gox back in 2011 when thousands of people lost their funds. More recent news was BTC-e shutdown and Bithumb hack! Actually major bitcoin exchanges are hit by cyberattacks almost every day and this is a huge threat to all cryptocurrency holders. So in my opinion projects like 0x are very perspective in near future, when its more and more risky to use usual, centralized exchanges!
From Amirs Bandealis post on medium network you can understand the main aspects of this protocol "Øx is an open protocol that facilitates low friction peer-to-peer exchange of ERC20 tokens on the Ethereum blockchain. The protocol is intended to serve as an open standard and common building block, driving interoperability among decentralized applications (dApps) that incorporate exchange functionality. "
Source: "https://blog.0xproject.com/introducing-0x-d51d5231ba53"If you are interested please read whole post or visit 0x homepage https://blog.0xproject.com/.
About 0x project, there was a token called (ZRX) where investors could buy 5906 ZRX tokens for 1 ETH. There are 2 main aspects that will drive ZRX tokens price in future. I have joined their official slack channel and there was said that In the 0x protocol, the ZRX token has 2 main utility functions:
- Governance : The ZRX will allow holders to vote on changes to the 0x protocol. This is a critical feature since relayers will want to upgrade the protocol and use the same 0x contracts as other relayers in order to maximize liquidity. A governance mechanism decreases the chance of upgrade forks, allows an automatic upgrade of the contracts, ensuring consistency across users, and therefore permits efficient upgrades to the protocol.
- Relaying fees : Relayers will host off-chain order-books and matching engines to match orders of makers and takers (the users wanting to trade ERC20 tokens). Makers and takers being matched using the service of a relayer will pay a fee to the relayer using ZRX tokens.
- *Important *: The ZRX token is to be purchased with intent to use the above-mentioned utilities for the protocol and not as an investment. No profits should be expected from the purchase of ZRX token(s).
It is funny that they say that 0x protocol is not an investment, because price of 1 token already went up almost 8 times (x12 at higher spot). I know that thee was a little hype so price went down a bit, but my prediction is that we might see a larger gain very soon. Price chart:
Remember guys, this is not an investment advice, but there are news that on August 31 there will be launch of Radar Relay which will act as a 0x relayer for people who want access to ERC20 tokens without having to rely on a centralized entity holding them. Radar will help you find and transfer any ERC20 token and at the same time Radar never holds any of your tokens. As they say " No need for new accounts or frustrating signups." which is very positive in my opinion. In near future we might see another huge 0x partnerproject from Bitfinex, which is called Ethfinex (https://www.bitfinex.com/ethfinex)
So definitely guys do your own research and good luck! :)