0x (pronounced zero x) is an ICO that recently raised $24 million. Run by a young and ambitious team of professionals, their project provides a uniform protocol to build decentralized exchanges for ERC20 (Ethereum-based) tokens, where peer-to-peer action will replace the traditional way of doing things where an exchange holds our private keys.
There are three exchanges already in the works, utilizing their platform – EthFinex (by BitFinex), Radar Relay and The0cean – these are all upcoming potential bullish events (and will also be consumers of 0x tokens) that should increase the price with their publicity. Crypto projects such as Augur, Aragon and district0x are also using 0x.
0x’s whitepaper is very interesting and it explains how they managed to solve the problem of meeting buyers and sellers in a very efficient way that avoids the need to store our tokens on an exchange that owns our private key and is prone to hacker attacks or other problems.
Their framework introduces the concepts of Maker (seller), a Relayer (the decentralized exchange), a Broadcast Order (pending order with a timer) and a Taker (possible buyer). The 0x tokens (ZRX) will be used in the process, so the new exchanges (relayers) will be users of 0x which, in theory, should increase the price.
Forbes has recently published an article that exposes a few problems with their protocol, but I’ve been informed from the 0x team that most of those problems are outdated and already fixed with the rest of them soon to be resolved.
Read the full in-depth article here.