0x Protocol, launched in 2017 by Will Warren and Amir Bandeali, is an open-source infrastructure for decentralised exchange on the Ethereum blockchain. The protocol facilitates peer-to-peer exchange of ERC-20 and ERC-721 tokens through a system of publicly accessible smart contracts. ZRX serves as the protocol’s native token, designed to enable platform governance and reward liquidity providers.

The protocol employs a modular architecture that allows for integration with other decentralised applications (dApps) and supports multiple exchange mechanisms. Its off-chain order relay and on-chain settlement approach helps reduce network congestion and gas costs while maintaining decentralised trading capabilities. This architecture sets it apart from traditional centralised exchanges and other decentralised protocols.

0x gained adoption among developers and projects building decentralised applications, particularly during the DeFi boom of 2020. The protocol has been utilised by numerous projects for implementing token swaps, NFT marketplaces, and other exchange functionalities. Its open-source nature has fostered a collaborative ecosystem of builders and integrators.

ZRX token holders can participate in protocol governance through a decentralised autonomous organisation (DAO), voting on protocol upgrades and parameter adjustments. The token is also used within the ecosystem to incentivise market makers and stakeholders who contribute to the network’s liquidity and development.