How to Buy and Invest in 0x (ZRX)

Before getting into what 0x is really technologically capable of, understanding what 0x is at it’s most basic understanding is essential to confidently buy it, make money from it, or use it for transactions. 0x, represented on the digital markets by the symbol/ticker of ‘ZRX’, is a cryptocurrency that runs on the Ethereum blockchain, that can be sent and received to anyone in the world with a working 0x-supported wallet. 0x is similar to Bitcoin in this sense: It is a form of technology that allows bits of code to be sent to other people no matter who they are, or where they are, and runs on a blockchain. 

0x is different than many other cryptocurrencies, however, mainly because it serves a different purpose than other cryptocurrencies. 0x’s main purpose is essentially to be a protocol for blockchain-ran exchanges. To understand its functionality, let’s assess the current state of online market exchanges. Usually, whether in the stock market or with cryptocurrencies, a centralized system is behind the exchange; that means the processing, order books, and functionality is completed in a central manner. This incurs high costs, slower processes, and vulnerability in terms of hackers and security. With the retail introduction of blockchain came the concept for ‘decentralized exchanges’, types of exchanges that run on blockchains and are processed with no middleman, only the DEX (Decentralized exchange) to serve as the interface and place to interact with the blockchain. 0x noticed that in order to build decentralized exchanges, you needed a very complex level of technology and knowledge to successfully finish the job. Therefore, 0x launched as a protocol for decentralized exchanges.

Now, that might be confusing; isn’t 0x a cryptocurrency that can be sent and received? Yes, exactly, however, it’s underlying infrastructure is one tailored to assist the creation and building of other decentralized exchanges served for multiple purposes. Think of Ethereum; Ethereum has the main ‘Ether’ cryptocurrency (Represented on the markets by the ticker symbol of ‘ETH’) that can be sent and received by different parties and people, however, Ethereum itself is an infrastructure, a technology that can be built upon. Think of 0x as another layer on the Ethereum infrastructure, with a purpose to develop virtual exchanges between people digitally and easily. Subsequently, as 0x is a technology, it also has the 0x (ZRX) cryptocurrency linked to it. Just like Ether on Ethereum, ZRX is a great solution for transactions and is usable amongst any online participants.

Let’s assess that once more: 0x as an entirety is a protocol to ease the swapping or ‘exchange’ of different parties for value online through ‘Decentralized Exchanges’, and 0x is also a cryptocurrency that can be bought, sold, sent, or received, that is commonly represented by the symbol of ‘ZRX’. Tieing this together with actually buying 0x, when you say you are ‘buying 0x’, you’re buying a cryptocurrency a part of a larger ecosystem. In fact, as stated before, 0x functions on the Ethereum blockchain as an ERC20 token.

What’s an ERC20 Token?

An ERC20 token is similar to a subsidiary to the Ethereum blockchain. It functions as a ‘sub-cryptocurrency’ of Ethereum’s blockchain. Think of it like this: Ethereum is a cryptocurrency, and 0x is a separate cryptocurrency, however, they function on the same blockchain. In order to send or receive 0x, you need an ERC20 supported wallet or an exchange wallet such as Coinbase’s ZRX wallet to not only hold but send/receive the crypto.

ERC20 tokens can be aggregated on a single wallet, such as MyEtherWallet. Wallets such as these can hold infinite amounts of ERC20 tokens, however, they must be ERC20 supported. Cryptocurrencies such as Bitcoin are not ERC20 supported.

Coinbase is one of the most well-known cryptocurrency exchanges on the mainstream front arguably because it was one of the first cryptocurrencies to offer instant purchase of cryptocurrencies such as Bitcoin and Ethereum using a credit card. Coinbase has since evolved into one of the more reputable and trusted exchanges because of its registration with United States authorities as well as abidance with global financial authorities. Coinbase, headquartered in San Francisco, United States, has made an active initiative to not only follow global compliance in a manner other exchanges are struggling to accomplish but also, an initiative to list assets in a law-compliant method. Coinbase listed 0x (ZRX) to buy and sell on their exchange in late 2018 and stands as one of the best exchanges for 0x purchases to date.

(Step by Step) How to Buy 0x On Coinbase

Prior to starting, if you’re looking to buy 0x Coinbase, it should be noted that you need to be able to verify your exchange account which includes providing valid investor materials such as your passport, a valid phone number for verification, and a bank account or credit card for linking.  To get started, first register for a preliminary Coinbase account. We can do this by heading over to the main page of Coinbase’s website and clicking to the ‘Get Started’ button on the homepage next to the sign-in button. Adversely if you have an account already, log in and skip this step.

Coinbase will then load a screen that asks you for a basic account and user information that ranges from your first and last name to area of residence as well as a secure password. For all of these parameters ensure that you’re inputting good, valid information as typing random information will only slow down the process in this case.  The following image depicts the type of screen that you will traditionally see after pressing the ‘Getting Started’ button and opting to register for their platform. This will give you a preliminary Coinbase account, however, in order to proceed further, you’ll have to submit verification documents to Coinbase in the next step.

In order to submit verification materials to Coinbase for finalization of your account, click the opt-in buttons that ask you to verify your identity; additionally, you can head here to find the verification screen depending on your account status. To fully validate your account you’ll have to submit the following relative types of documentation:

• Identification (Passport, driver’s license, registration card, etc.)
• Selfie with ID – You’ll need to provide a selfie image where you are holding up your ID next to your face.
• Phone number – You will require a valid and accessible phone number in order to fully verify your account.

Once you’ve submitted the above documents, the next step is to fund your account, link a deposit form, and finally buy the 0x.

Assuming you were successful in verifying your account, next head to your Coinbase dashboard. Click ‘Buy/Sell’. Select Buy and under Payment Method select this and press ‘Add New Account’.

Pressing this button will load a new page where you’ll be asked which type of account you want to link. This can be a bank account, credit card, and so on. Then, you will be asked to input your account information and complete a basic payment test to validate that this is, in fact, your personal account. After inputting the information and processing it successfully, head back to the ‘Buy/Sell’ section. Now, from the list of assets that are displayed, select ‘ZRX’, and your screen will subsequently look as follows:

Then, underneath this screen, you should see an input field where you can specify how much worth of 0x you want to purchase. Then, simply click the payment method that you linked in the previous step, and press ‘Buy 0x’ – Coinbase will then retrieve the funds from the account that you linked earlier and make a purchase for 0x. Upon completion, which is typically only a few moments, you will now be able to head back to the dashboard section of your Coinbase dashboard and see that your 0x balance has now updated to reflect your purchase.

Congratulations, you’ve successfully bought 0x on Coinbase! From here, you can send and receive 0x at your own discretion and are free to move the newly purchased 0x to another wallet if you choose.

Plus500 is one of the more popular CFD providers that enables the buying and selling of CFDs, which are contracts for differences; these types of financial products are representations of asset holdings and allow you to be exposed to an assets price without ever having to buy the underlying asset. This is convenient for those who have absolutely no idea how to work with cryptocurrency but are accustomed to traditional market products in stock or when trading forex markets. Plus500 recently made a jump to list a plethora of different verified and supported cryptocurrencies only buyable via CFDs on their inclusive exchange. At this time, Plus500, unfortunately, does not support 0x listings, however it does offer trading of different cryptocurrencies including Ethereum, Bitcoin, and more. We can definitely see the possibility of Plus500 listing 0x as a tradeable asset within the near future, however, at this time, the listing is unclear. Be wary of any user or trader claiming services on Plus500 to trade 0x, as this is not possible at the moment.