0x team unveils new protocol version with lower gas costs

Developers of the Ethereum protocol for decentralized exchanges, 0x, unveiled its fourth version. Among the changes are lower gas costs and new opportunities for combining different platforms.

🚀0x Protocol V4 has been approved with a resounding YES!🚀

🙏Special thank you to the 2,362 unique $ZRX holders for participating in the vote to bring the most gas efficient and flexible version of 0x to users, market makers, and builders across DeFi! https://t.co/eazZvLARjJ pic.twitter.com/XHOPqP2SAe

— 0x 🍵 (@0xProject) January 26, 2021

On January 23, by a decisive majority, the 0x community approved the transition to version v4. The vote saw 2,362 unique ZRX holders participate. It was the largest in terms of native token involvement (11.6 million).

🚀0x Protocol V4 has been approved with a resounding YES!🚀

🙏Special thank you to the 2,362 unique $ZRX holders for participating in the vote to bring the most gas efficient and flexible version of 0x to users, market makers, and builders across DeFi! https://t.co/eazZvLARjJ pic.twitter.com/XHOPqP2SAe

— 0x 🍵 (@0xProject) January 26, 2021

The project team promised to cut transaction fees by 70% on quotes requests and by 10% on placing limit orders.

The new protocol version will reduce user costs when using liquidity from Uniswap and SushiSwap compared with trading directly on those DEXs.

V4 includes an intelligent order-routing algorithm. It enables providing liquidity to a pool with any arbitrary token, exchanging pool liquidity tokens or collateral on lending platforms like Compound or Aave “in a second.”

0x gained a ‘plug&play liquidity’ feature. The protocol will allow adding user-created liquidity pools through a standard interface before aggregating with other sources. This feature is expected to be valued by market makers and DEX developers operating on a next-generation AMM model.

Thanks to the new architecture and governance process, future 0x updates will proceed more quickly. In the coming months, developers will present new proposals (ZEIPs) to be put to a vote.

Earlier, the Kyber Network team announced turning the DEX into a hub of target liquidity protocols for various DeFi use cases.

Follow ForkLog news on Telegram: ForkLog FEED — the full news stream, ForkLog — the most important news and polls.