Introduction on the 0x Coin
Ox Coin is a protocol to improve the collaboration of different ERC20 tokens based on the Ethereum blockchain. The protocol was designed to act as a standard and improve overall block-building collaboration between decentralized applications.
Transactions are executed through a series of smart contracts based upon the Ethereum blockchain. These smart contracts are publicly available and can be used free of charge.
They can also be combined with any dApp. dApps based on this protocol can access public liquidity pools or create their own pools. Thus, they can distribute transaction costs to the resulting volume. The protocol is a fair one, giving no preference to individual user classes, while ensuring costs are fairly distributed.
In addition, digital governance is implemented so that the protocol can be continuously improved. This means that new updates to the source code can be introduced. There is no interference with the current business and users do not actively have to implement these updates.
Solutions Ox Coin provides
The Ethereum blockchain is characterized by a very active community. Since the genesis block, several decentralized applications, all based on Ether contracts, have been released. This greatly simplifies peer-to-peer exchange and offers innovative features.
However, due to the rapid growth and multiple releases of different distributions of a dApp, users experience fluctuating quality levels. This includes many intelligent contracts with varying degrees of security and variable levels of quality.
This can include differentiated configuration processes. Basically, however, these different dApps are supposed to offer identical services, so a fluctuating level of quality is created throughout the network.
As a result of this situation, costs arise that are particularly noticeable. These arise in the form of weakening network efficiency and declining liquidity. By using Ox Coin, the problem is overcome due to the protocol serving as a modular component, which can be individually configured. It allows for reliable cooperation of individual components.
Can Ox be considered a central stock exchange?
Ultimately, Ox is a protocol that improves the exchange and should not be used as an application for exchanging tokens. In particular, decentralization should enhance the level of confidentiality and anonymity.
The use of a central institution or a regulatory body is done away with, making it difficult for hackers to act or for states to interfere. It’s been proven in the past that traditional trading centers aren’t safe, with attacks on ShapeShift and Bitfinex already seen.
Ox can be seen as a public infrastructure; one that is used exclusively for the extraction of fees and costs. This infrastructure is also financed by a global network to ensure independence. The protocol can be used free of charge, so that applications for trading tokens can also be based on this protocol.
Can fees still be charged for using this protocol?
In order to ensure a massive reduction in costs, Ox Coin relies on so-called off-chain order ledgers. Because of this, the blockchain is only used for the settlement of the trade, and costs can be almost entirely eliminated.
However, since administration and hosting are present, some fee must be charged. Fees can be set variably by relayers to ensure healthy competition. In the long term, costs are expected to fall sharply and Ox Coin should become even more affordable.
Which digital systems are supported by Ox?
In principle, Ox supports all event-based systems built on the ERC20 standard. Due to the versatility of the Ethereum blockchain, there is a large number of ERC20 tokens, which is growing rapidly. According to developers, many assets will be secured in token form by 2020. This will all be part of the Ethereum blockchain.
These include stocks, other securities, bonds, traditional currencies and games. It is also expected that there will be solutions for cross-blockchain functionality. Tokens such as Bitcoin will be traded in the ERC20 standard and can be displayed on the Ethereum blockchain.
Market capitalization of the Ox Coin
Ox Coin has been traded on the market since August 16, 2017, under the acronym ZRX. The issue price of the token was 0.111725 US dollars, resulting in an initial market capitalization of 67 million US dollars.
This is unusual for such a young currency and demonstrates a high level of market confidence. As early as August 19, the market capitalization was 306.8 million US dollars. However, this fell to 100 million US dollars and only entered another upturn in December.
The development phase ended on January 13, 2018, with the price per token standing at 2.44 US dollars. This resulted in market capitalization of 1.2 billion US dollars. Since then, consolidation has begun, met with the support of 880 million US dollars.
Daily trading behavior
If Ox Coin is considered a trading commodity, it’s worth noting that 50 percent of the maximum number of tokens was put into circulation. With 502 million tokens, there is still sufficient growth potential until the maximum of a billion tokens is achieved.
The currency also has a daily trading volume of 18.98 million US dollars. Binance is the most active trading venue for this currency. However, Huobi and Poloniex are also important markets. Bitcoin can be named as the most important token in trade, with approximately 67 percent of trade accounted for by this coin. Ethereum also plays a vital role, accounting for around 20 percent of the trading volume.