What is 1inch?
1inch is a DEX aggregator. It searches a few decentralized exchanges for the best rates and reroutes its clients’ transactions across them to attempt to guarantee the best prices.
As of June 2021, 1inch promises to provide customers with over 50 Ethereum liquidity sources, 20 Binance Smart Chain liquidity sources, and eight Polygon liquidity sources. Uniswap, 0x, and Balancer are among the DEXs it uses, as is 1inch’s own liquidity protocol, which was formerly known as Mooniswap.
Sergej Kunz and Anton Bukov created 1inch during the ETHNewYork hackathon in 2019. Binance Labs, Galaxy Digital, and Pantera Capital have all contributed to 1inch’s $15 million in financing since then. 1inch’s exchange trades approximately $250 million per day as of June 2021.
How Does 1inch Work?
1inch Exchange divides a transaction over multiple exchanges using its API technologies to find the best feasible routes for a token swap.
As a consequence, the rate you have access to is often considerably better than what you would receive if you just used one cryptocurrency exchange.
In other words, 1inch Exchange aims to solve the flaws in the broader DEX market. That is excessive slippage and costly transaction cancellations as a consequence of small order books.
The best thing about 1inch Exchange is that you don’t need to register an account to start trading. Instead, you connect your ETH wallet and may immediately start trading currencies.
1inch Exchange integrates with a variety of cryptocurrency wallets to store your digital money. This implies that your token is not accessible to 1inch Exchange. This is in contrast to centralized exchanges where your tokens are held in custody by the exchange.
To put it another way, you have full control over your crypto assets. From a safety standpoint, this is critical.
What is the History of 1inch?
Sergej Kunz and Anton Bukov, two Russian developers, founded the platform in 2019. Many prominent DEXs, like the Balancer, Kyber Network, Uniswap, Oasis, Mooniswap, and others, easily connect with 1inch Exchange.
To put it another way, you’ll be able to exchange any ERC-20 token at the touch of a button. Currently, the exchange handles over 250 different digital currencies.
1inch Exchange’s goal is simple: to deliver the best prices for its customers by identifying the most efficient exchanging routes from top DEX suppliers.
To do so, the platform shows the price and liquidity available on each exchange, allowing you to make an educated choice based on the information provided.
How Do I Hold 1inch?
1inch is an ERC20 token. You can hold it on any common Ethereum wallet, such as Metamask or MyEtherWallet.