27 Jun 2018 Radostin Spasov
Spotlight: 0x hybrid exchange protocol - the solution for blockchain issues
The fast development of blockchain technology in the last couple of years clearly shows the vast opportunities it offers to empower the financial digital transformation.
Although the role and significance of the cryptocurrency concept are still settling in, many have adopted the innovative payment solutions. They are able to use two main models of exchange protocols - centralized and decentralized.
Recently, centralized exchanges have been increasingly vulnerable to multiple hackers’ attacks. Decentralized exchanges offer users higher security levels, but operate at much slower rates and lack user-friendliness.
Insight viewers see 0x and similar platforms to be a combination of both kinds which is considered as the most sustainable and operable pattern in the long run.
The protocol is designed to transport orders off-chain which eliminates the blockchain bloat to speed up the transaction time.
Furthermore, 0x’s relayers support broadcast orders and collect a fee at the time of the trade they facilitate. Relayer building is a process open to anyone.
The crypto market watch has marked price fluctuations of the ZRX coin for the first half of the year. Following the coin’s price record in January of $2.37, in the second quarter of 2018 it reached a low of $0.64.
The ZRX tokens were restricted initially to the Ethereum system with the idea to move on to cross-chain solutions like Wanchain and Cosmos. ZRX price is not determined by mining since the tokens are not mineable.
The hard cap of the supply is 1 Billion pieces with a little more of half of this number being in circulation until the halfway point of 2018.
An essential part of the 0x protocol’s success is partnerships. The number of projects using the 0x protocol has grown for the last few months including Augur, Blocknet, Radar, dEX, Aragon, Dharma, Maker - only a small part of the adoptions.
Yet, some skeptics are still unsure about the sustainability of the 0x business plan, as the no-fee transactions could devaluate the ZRX price. There are also strong competitors in the field of decentralized Ethereum-base platforms like EtherDelta, IDEX, and Radar Relay.
The hybrid presence and the ambivalent nature of 0x hold the prospects in the bright light even in the toughest moments on the market.