Payments Powered by 0x Project – district0x

blog.district0x.io5y ago
Payments Powered by 0x Project Embedding the 0x Protocol in markets on the district0x Network

When creating our token model a key design decision was to not make use of a token simply for the purpose of payments within the network. It is our belief that payment tokens add friction to platforms, lead to higher fees, and limit the size of potential user bases. Quite the opposite, we hope to provide as much transactional freedom as possible and maximize the utility afforded by marketplaces on the district0x Network.

We believe in the ability to choose, which is why we are excited to announce our partnership with the 0x Project to embed their protocol into markets on the district0x Network, giving users the ability to pay and receive payment in the ERC20 token of their choice.

A Protocol for Decentralized Exchange

With the explosion of crowdsales over the past few months, we have seen an increasing amount of wealth held by members of the community in assets other than ETH. Without a way to easily exchange between these different tokens the benefits of interoperability and network effects start to dwindle, and the Ethereum ecosystem begins to look fragmented rather than free flowing. Fortunately, the 0x Project offers a solution.

0x is a protocol for the peer-to-peer exchange of Ethereum based tokens, intended to serve as an open standard and common building block to drive synergies between decentralized applications. DApps built on top of the protocol can access public liquidity pools, allowing smart contracts to programmatically and seamlessly trade ERC20 tokens.

At district0x, we will make use of the 0x protocol to eliminate barriers to entry, reduce costs for end users, and ultimately provide a better UX.

Powering Payments

My partner built Ethlance because he wanted a way to be able to work for payment in ETH. By embedding the 0x protocol into Ethlance, we will extend this freedom beyond ETH to all Ethereum based tokens.

When sending an invoice, users will be able to select the currency they wish to receive their payment in. Regardless of their choice, the other party will be granted similar abilities, being able to pay the invoice with any liquid ERC20 token. Without needing to expand further, the benefits of this functionality are clear.

As a network of communal marketplaces, we are always seeking ways to enable niche communities to more effectively organize and engage in trade. In line with our mission of making district0x and its markets open and accessible to all, we plan to make use of the 0x protocol throughout the network, implementing it in any marketplace whose users will benefit from the additional economic flexibility it provides.