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DEX Ethereum Governance

What the ZRX token is used for

How the ZRX token works. 0x is a protocol for peer-to-peer exchange of ERC-20 tokens on the Ethereum blockchain.

What is 0x?


0x is an open protocol for peer-to-peer exchange of ERC-20 tokens on the Ethereum blockchain.

ZRX is used for


  • Staking
  • Trading fees
  • Governance

ZRX token


Token holders stake their ZRX

  • And earn liquidity rewards through market making and participating in governance over the protocol.
  • One Staked ZRX equals one vote.
  • Governance over the protocol is conducted by voting on ZEIPs (ZeroEx Improvement Proposals).

How 0x works


The 0x DEX is a set of smart contracts.

It uses a automated market maker and state channels for an off-chain order book with on-chain settlement.

0x transactions consists of 3 parties

  • Makers – Submit trades
  • Relayers – Manages the off-chain order book
  • Takers – Fulfills trades via DEX smart contract

Trades are merely signed messages until they are transmitted on-chain by Takers.

A transaction on 0x


  • User X choses to trade between token A and Token B.
  • User X sets acceptable price and signs the transaction with their private key.
  • User X broadcasts the transaction.
  • User Y who holds Token B accepts the trade.
  • User Y sends the transaction to the DEX.
  • If price and messages are valid the DEX updates balances of user x and y for the tokens.

Docs


Docs

ZRX Token issuance


Total supply: 1,000,000,000 ZRX

What’s the story?


  • Off-chain DEX

Competition


0x price


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