How To Buy 0x (ZRX)?

A common question you often see on social media from crypto beginners is “Where can I buy 0x?” Well, you’ll be happy to hear it is actually quite a simple and straightforward process. Thanks to its massive popularity, you can now buy 0x on most cryptocurrency exchanges, including Coinbase and Binance in 3 simple steps.

Step 1: Create an account on an exchange that supports 0x (ZRX)

First, you will need to open an account on a cryptocurrency exchange that supports 0x (ZRX).
We recommend the following based on functionality, reputation, security, support and fees:

In order to sign up, you will need to enter some basic information, such as your email address, password, full name and, in some cases, you might also be asked for a phone number or address.

Note: On specific exchanges, you might need to complete a Know Your Customer (KYC) procedure in order to be able to purchase cryptocurrency. This is most commonly the case with licensed and regulated exchanges.

Step 2: Deposit funds into your account

Many cryptocurrency exchanges will allow you to purchase 0x (ZRX) with fiat currencies, such as EUR, USD, AUD and others. Furthermore, they will also provide you with multiple deposit methods through which you can fund your fiat account, such as credit and debit cards, ewallets or direct bank transfers.

Note: Some payment methods will have higher fees than others, such as credit card payments. Before funding your fiat account on your chosen exchange, make sure to do your due diligence to find out the fees involved with each payment method to avoid unnecessary costs.

Step 3: Buy 0x (ZRX)

This process is similar across almost every cryptocurrency exchange. All you have to do is find a navigation bar or a search bar, and search for 0x (ZRX) or 0x (ZRX) trading pairs. Look for the section that will allow you to buy 0x (ZRX), and enter the amount of the cryptocurrency that you want to spend for 0x (ZRX) or the amount of fiat currency that you want to spend towards buying 0x (ZRX). The exchange will then calculate the equivalent amount of 0x (ZRX) based on the current market rate.

Note: Make sure to always double-check your transaction details, such as the amount of 0x (ZRX) you will be buying as well as the total cost of the purchase before you end up confirming the transaction. Furthermore, many cryptocurrency exchanges will offer you their own proprietary software wallet where you will be storing your cryptocurrencies; however, you can create your own individual software wallet, or purchase a hardware wallet for the highest level of protection.

For more in-depth instructions, our ‘Absolute Beginner’s Guide To Cryptocurrency Investing‘ will take you through the process step-by step. In addition to providing instructions for sending and receiving your cryptocurrency.
And if you’re completely new to crypto our beginner, intermediate and advanced level articles will get you up to speed with everything you need to know about the cryptocurrency space starting out. 

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What Is 0x (ZRX)?

0x is an infrastructure protocol that allows users to easily trade ERC-20 tokens and other assets on the Ethereum blockchain without relying on centralized intermediaries like traditional cryptocurrency exchanges.

0x achieves this decentralized exchange functionality using a collection of open-source, publicly auditable smart contracts that work together to produce a flexible, low-friction trading protocol that developers can easily weave into their products.

The protocol is powered by an ERC-20 utility token known as ZRX. Nodes that (also known as relayers) host an off-chain order book and offer user-facing applications that present this information and allow users to make, fill and cancel transactions are paid in ZRX tokens (as trading fees). ZRX can also be used to participate in platform governance, helping holders suggest and vote on changes to the protocol.

In 2019, 0x announced an overhaul of the ZRX token, adding extra functionality, allowing ZRX holders to delegate their stake to a market maker to earn passive rewards while retaining their voting capacity.

How Does 0x Work? 

0x supports DEX functionality by leveraging a collection of open source and publicly auditable smart contracts. These smart contracts work together to form a flexible, low-friction trading protocol that developers can easily weave into their products. The code for executing token swapping is openly shared on the 0x homepage; exchange makers need only copy it over and paste it into their platform.  

The protocol is powered by an ERC-20 utility token called ZRX. Nodes (also known as relayers) host an off-chain order book and offer user-facing applications that present this information and enable users to make, fill and cancel transactions that are paid in ZRX tokens (as trading fees).

Decentralized exchanges

To further understand the 0x protocol, it is useful first to review the fundamentals of a decentralized exchange, or DEX. Centralized exchanges act as trusted intermediaries that facilitate the trading of different crypto assets and often act as custodians by storing and protecting your funds. In contrast, DEXs eliminate the custodial middleman and instead facilitate the P2P exchange of crypto assets, often offering unique assets that may not be available on centralized exchanges. DEXs utilize secure smart contracts to match and complete trades between peers and do not act as custodians. 

DEXs often face challenges concerning usage and liquidity. 0x addresses these issues by offering a flexible DEX architecture, comprehensive developer documentation and tools, an easy to integrate 0x API, and networked crypto liquidity pools (both from native 0x sources, as well as from other exchange networks) accessible via 0x Mesh, a fully decentralized P2P global order book that functions independently from the Ethereum blockchain.

Some platforms that utilize the 0x protocol include Matcha, Tokenlon, MetaMask, Augur, DeFi Saver, Radar Relay, and more.

What Distinguishes 0x From Other DeFi Projects? 

There is a growing number of duplicate projects in the world of DeFi that struggle to differentiate themselves from their competitors. 0x has attempted to set itself apart by focusing on the tools that it judges to be most important for the development of the ecosystem more broadly. 

The team has attempted to make it easier for developers to build their own DEXs and to help users to execute more efficient and accurate trades by providing a tool for liquidity aggregation. 0x has also created a feature called Matcha, which serves as a search engine for trading on all DEXs simultaneously – akin in its functionality to Expedia or Kayak. By aggregating all DEXs in this way, 0x aims to simplify the trading process for those faced with so many DEX options. 

Another thing that distinguishes 0x from other Ethereum-based DEX protocols is that 0x supports both fungible (ERC-20) and non-fungible (ERC-723) tokens. This allows for permissionless trading across a wide range of assets, enabling holders to buy, sell and exchange the vast majority of Ethereum assets via over a dozen different apps.

The 0x protocol can be applied in a wide range of contexts, including Shopify-style marketplaces for digital goods and services, over-the-counter (OTC) trading desks and DeFi protocols and DEXs.

Although 0x can be used to build highly flexible DEX products, it can also be integrated into products in which token exchange is a secondary feature, e.g. for portfolio management platforms or in-game purchases for online games.

On the 0x protocol, exchange fees are paid using native ZRX tokens. These fees are used to incentivize market maker (relayer) liquidity. Users also need to pay a protocol fee denominated in Ether, which is used to pay for the gas used in any transactions they complete. As an open source protocol, 0x does not receive any share of this revenue and is instead supported by the ZRX tokens that are unlocked for team and developer incentives, in addition to its initial ICO funding.

What Is the ZRX Token? 

ZRX is the native token of the 0x platform. ZRX token holders have the power to vote on any proposals that the 0x team puts forward as it continues to develop the network. Each token acts as a vote, which serves as an incentive for users to hold more 0x in their wallets. During voting, all ZRX tokens are locked while the results are decided. This ensures that all voters will be directly affected by any changes that are implemented (preventing sabotage). Users can also stake ZRX in liquidity pools in order to earn rewards on their holdings.

Who Are the Founders of 0x?

0x was founded in 2016 by Will Warren and Amir Bandeali. The two co-founders continue to serve the platform, with Will Warren as 0x’s CEO, whereas Amir Bandeali is CTO.

The platform launched following a successful initial coin offering (ICO) in 2017, during which it raised a total of $24 million — with support from prominent investment firms including Polychain Capital, Pantera Capital and FBG Capital.

Prior to the sell-out ICO, Warren worked in several research roles and briefly held the role of technical advisor to Basic Attention Token (BAT). Bandeali, on the other hand, graduated from the University of Illinois with a BSc in Finance and held several trading positions before co-founding 0x.

Now the team is composed of more than 30 individuals, including engineers, researchers and designers who work to update the platform and keep it running smoothly. 

0x development updates in 2023

In 2023, the 0x (ZRX) cryptocurrency, recognized as a significant infrastructure protocol on Ethereum, has undergone several noteworthy developments. These advancements highlight the platform’s commitment to enhancing its functionality, efficiency, and relevance in the decentralized finance (DeFi) and non-fungible token (NFT) domains. Below is an overview of the most important updates and changes to the 0x platform this year:

• Integration with Coinbase and Nested: One of the key developments for 0x in 2023 has been its integration with Coinbase’s social NFT platform. This partnership utilizes 0x’s infrastructure to power Coinbase’s NFT marketplace, which is expected to drive more mainstream use of the 0x Protocol. Additionally, Nested, a social trading platform, is also building on 0x’s infrastructure, further expanding the protocol’s utility in innovative applications​​.

• Enhanced Gas Efficiency on Ethereum: 0x Labs has announced ongoing work to integrate other supported chains with the aim of enhancing gas efficiency on Ethereum by up to 54%. This development is particularly significant given the high gas fees often associated with Ethereum transactions, and it positions 0x as a more cost-effective option for developers and users within the Ethereum ecosystem​​.

• 0x Protocol v4 NFT Swap Support: The 0x Protocol v4 NFT swap support, rolled out on the Ethereum mainnet, introduced creator-centric features and improved gas efficiency, making NFT swaps on Ethereum more affordable. This update aligns with 0x’s strategy to enhance its capabilities in the burgeoning NFT space​​​​.

• Multi-chain Integration Plans: 0x has revealed plans to integrate other supported chains, such as Binance Smart Chain, Polygon, Fantom, Avalanche, Celo, and Optimism, with its platform. This move is expected to increase the protocol’s flexibility and interoperability, broadening its appeal to a wider range of users and developers​​.

• Decentralized Governance and Token Registry: The ZRX token, native to the 0x platform, facilitates decentralized governance, allowing stakeholders to vote on proposals affecting the blockchain’s future development. Additionally, 0x includes a token registry contract, providing an on-chain reference for verifying ERC-20 token addresses and exchange rates, further enhancing the protocol’s utility and transparency​​.

• 0x Launch Kit and Asset Swapper: The 0x Launch Kit enables anyone to quickly set up their own exchange or marketplace, simplifying the process of building a relayer. The Asset Swapper feature, derived from the token registry, allows for programmable asset exchanges, highlighting 0x’s versatility and developer-friendly approach​​.

• Community Engagement and Social Proof: 0x maintains an active presence on social media platforms like Twitter and Reddit, with a significant following that reflects its robust feature set and appeal within the NFT exchange protocol domain. This community engagement supports the platform’s growth and adoption​​.

In summary, 0x’s developments in 2023 demonstrate its ongoing commitment to enhancing its infrastructure, optimizing gas efficiency, expanding multi-chain support, and fostering community engagement. These updates position 0x as a pivotal player in the DeFi and NFT spaces, offering a versatile, efficient, and developer-friendly platform.

Official website: https://0x.org/

Best cryptocurrency wallet for 0x (ZRX)

There are plenty of different crypto wallets available. The best one for you depends on your general trading habits and which provides the most security in your situation. There are two main types of wallets: hot storage wallets (digital) and cold storage or hardware wallets (physical). Both have their pros and cons, and there is not necessarily a right or wrong answer when it comes to figuring out which crypto wallet is best for you.

HOW DO I DECIDE WHICH cryptocurrency WALLET TO USE for 0x (ZRX)?

Deciding which type of wallet to use depends on a variety of factors, including:

• How often you trade. In general, hot wallets are better for more active cryptocurrency traders. Quick login ability means you are only a few clicks and taps away from buying and selling crypto. Cold wallets are better suited for those looking to make less frequent trades. 
• What you want to trade. As mentioned earlier, not all wallets support all types of cryptocurrencies. However, some of the best crypto wallets have the power to trade hundreds of different currencies, providing more of a one-size-fits-all experience.
• Your peace of mind. For those worried about hacking, having a physical cold wallet stored in a safe deposit box at the bank or somewhere at home, provides the safest, most secure option. Others might be confident in their ability to keep their hot wallets secure.
• How much it costs. It is important to investigate the costs associated with each wallet. Many hot wallets will be free to set up. Meanwhile, cold wallets, like any piece of hardware, will cost money to purchase.
• What it can do. While the basics of each cryptocurrency wallet are the same, additional features can help set them apart. This is especially true of hot wallets, many of which come with advanced reporting features, insights into the crypto market, the ability to convert cryptocurrencies and more. Security features can also be a good differentiator.

For a more in-depth overview of cryptocurrency wallets visit our “Cryptocurrency Wallets Explained” guide.

If you’re going to be dealing in larger volumes of crypto, investing in cold storage might prove advantageous.
Most widespead examples of this being the Ledger Nano and the Trezor.

Ledger manufactures cold storage wallets designed for users who want increased security. Their wallets are a physical device that connects to your computer. Only when the device is connected can you send your cryptocurrency from it. Ledger offers a variety of products, such as the Ledger Nano S and the Ledger Nano X (a bluetooth connected hardware wallet).

Trezor is a pioneering hardware wallet company. The combination of world-class security with an intuitive interface and compatibility with other desktop wallets, makes it ideal for beginners and experts alike. The company has gained a lot of the Bitcoin community’s respect over the years. Trezor offers two main models – The Trezor One and Trezor Model T (which has a built in touch screen).