0x Protocol Token
What Is 0x Protocol Token?
ZRX is a crypto based on the ERC20 specification. The 0x project (ZRX) is a protocol used to create personalized decentralized markets, allowing to exchange crypto assets between users quickly and safely and with zero transaction costs. The 0x token is used to pay commercial fees to relays for their services. The main use of ZRX is to offer decentralized control over the 0x protocol update system, which means that ZRX owners have the authority (proportional to their assets) to decide how the protocol should be developed over time.
Pros and Cons of 0x Protocol Token
Advantages of ZRX
Due to its versatility and easy protocol availability, it won't take long for 0x to grow rapidly, providing the foundation for other similar exchange systems using the Ethereum blockchain. Although 0x has been operating for some time, it was after Coinbase's decision to use 0x for its market that has put it in the spotlight, as well as the listing of ZRX as a token that could be bought and sold on Coinbase. It seems clear that Coinbase is going to vastly expand the number of assets it offers and 0x is going to be the foundation which the new market is built on. When this happens, it is quite possible that other markets around the world will imitate it, and we may have 0x as one of the pillars of the crypto world.
Disadvantages of ZRX
The main criticism that is made to 0x is the little use that the token itself has. Although it is used at all times by the protocol, and this is done quite transparently, it is not that evident what use it would be for someone to have a large number of ZRX, apart from using it as a possible investment. The only practical use the token has is the ability to participate in the future development of the product, with decisions made after voting in which each ZRX owned gives one vote.