Why is 0x (ZRX) the Crypto of the Day?

The following post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga.

Decentralization is 1 of cryptocurrency's greatest advantages, but the majority of traders still use centralized exchanges. This is mostly due to the simple usability of these platforms, making it easy and reliable for anyone with a phone or computer to enter into the crypto market. 0x takes this philosophy of easy access to the crypto market but hosts trading as a decentralized exchange (Dex).

Decentralized exchanges aren't new, and 0x isn't even close to being the biggest Ethereum decentralized exchange. However, its strong development team has built it to provide usability in areas other decentralized exchanges aren't. The 0x exchange is an application-agnostic exchange making it able to receive and process data from different sources. This protocol allows other platforms to facilitate cryptocurrency trading run by the 0x exchange. 

What is 0x?

0x is a decentralized exchange on the Ethereum network that's built with optimized order routing to provide a reliable trading protocol that developers can easily implement into their products. The problem with centralized exchanges is that the crypto you are buying is not actually your crypto; it's the exchanges crypto they hold on your behalf. The involvement needed by a centralized company is subject to a lot of regulations and relies on trust that the company won't change its rules.

Rule changes by centralized exchanges make incorporating that exchange into other projects unreliable. For instance, if a trading platform used a centralized exchange that ran into a problem where they had to freeze trading, the platform could face repercussions. 0x offers a trustless system to host trading so developers and users can reliably connect to the market.

0x has a governance protocol that allows for improvements to be made on its network through a system of voting. Stakeholders of the 0x's token (ZRX) can vote on proposals that can be implemented into its blockchain so the project will adapt and stay competitive with the rest of its competitors.

0x (ZRX) is Up 21% in 24 Hours

Throughout 0x's history, it has always relatively followed the trend of the crypto market. Shortly after being released in 2017, it reached its all-time high of $2.30 in January of 2018. This price jump is right around when bitcoin reached its early high of $19,000. However, unlike bitcoin, 0x hasn't seen any consistent growth from this point and struggles to break its prior all-time high. The price has followed the recent bull market and reached back up to its high of $2.30, but this spike in price was short-lived as it fell back down to where it is currently at around $0.85. The coin's current price range seems to be in a channel of between $0.60 and $1.20 which is a wide margin, but hasn't seen the long term price growth of many other cryptocurrencies.

Why is ZRX Moving?

The crypto protocol Polygon announced on June 10th it has put $7 million into the 0x community to grow its Defi market. On June 10th, however, the 0x price continued to fall despite this significant contribution to its $700 million market cap. The actual effect of this funding won't be seen for a while, and the price will most likely continue with the larger market trend. However, it is a good sign that the 0x protocol is making connections with other platforms and could potentially be used as the Defi backbone for a multi-chain Ethereum ecosystem.

Where to Buy ZRX

ZRX is a very accessible coin on many of the most popular centralized exchanges like Binance and Coinbase. You can also buy ZRX on their own exchange called Matcha which they link to on the 0x website. This exchange uses all of the other decentralized exchanges to find you the best prices with no commissions.  

The preceding post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga. Although the piece is not and should not be construed as editorial content, the sponsored content team works to ensure that any and all information contained within is true and accurate to the best of their knowledge and research. This content is for informational purposes only and not intended to be investing advice.