The goal of ZRX is to be the building blocks that enable developers to create better, more easy-to-use tools for trading crypto directly with one another, without having to go through a third party.
As most crypto owners know, the tools that are available for changing your crypto from one currency to another are still evolving. ZRX’s goal is to enable developers to build the kinds of decentralized exchanges that will encourage more people to feel more comfortable putting more of their money into crypto markets. That more + more + more should fuel growth of the crypto markets overall.
In addition, the ZRX token is designed to allow people who care about 0x to have a say in technical decisions about how the system evolves. As the organization needs to make choices about new features people who hold the ZRX token will get a vote– the more ZRX you own, the more power you have over the decisions being made.
Just like you learned with that pulley and lever experiment in high school physics, good tools make things more efficient. If ZRX is successful it has the potential to unlock significantly more value in the crypto markets by reducing friction and inefficiencies in exchanges. That is, if it’s easier to move currencies around then hopefully the currencies will be more valuable. This is good for end users because it makes their lives easier, and it’s good for the entire system because it means the crypto markets overall can grow.
By enabling developer to create decentralized exchanges users are able to trade currency directly, without the need for a centralized third party like a bank. This means there are fewer people in the process who need to be trusted.
In order for ZRX to last long term, they’ll need to make the right decisions on a lot of still-unresolved technical questions. Currently the organization rewards people with the token for using the system but has ambitions to allow token holders to influence the technical decisions made as well. It remains to be seen if they will be able to successfully make the right technical decisions, attract users, and drive enough revenue to sustain themselves as a not-for-profit.
ZRX is protocol is live and developers can build on their tools on the system. There are many decentralized exchanges built on top of ZRX, such as Radar Relay or DDex, and ZRX just released a trader portal to hand-hold users through the process. In addition the ZRX token is in active trading. At writing the token is being used as a form of payment within the system, but does not yet give the holder voting rights.
Disclaimer: This content is for informational purposes only. Long Game is not a registered investment adviser or broker-dealer. Long Game does not recommend any security or token, and this is not an offer to sell or buy any token. All investing involves risk and investments may lose value. Past performance does not guarantee future results. Long Game is not affiliated with any token or its sponsors. Some people working at Long Game might own tokens.