What is 1inch?
The 1inch Network (1INCH) is a decentralized exchange (DEX) aggregator and DeFi ecosystem that utilizes a unique aggregation engine to scan various DEXs for the best prices and rates. The platform, launched in May 2019 by Russian developers Serjez Kunz and Anton Bukov, aims to provide deep liquidity to the DeFi market by connecting users to a variety of liquidity protocols and exchanges. The 1INCH token is the native token of the 1inch Network, serving as both a utility and governance token.
1inch Network's journey began in May 2019, when Kunz and Bukov developed the 1inch DEX Aggregation Protocol, which aimed to provide better prices than any specific exchange by scanning transactions across multiple marketplaces. Initially, the protocol obtained liquidity via Bancor, Kyber, and Uniswap.
In December 2020, the platform distributed its own governance token, 1INCH, to users of 1inch’s exchange platform. The token was distributed retroactively, ensuring that it was guaranteed to the platform’s users even before its launch. Following the token distribution, 1inch Network raised $14.8 million in investment and expanded to service almost 80 regions across numerous chains.
In June 2021, the platform released a new feature called the 1inch Limit Order Protocol, which replaced the outdated solution with a more gas-efficient and flexible protocol, allowing users to define arbitrary conditions for limit order execution.
The 1INCH token has an initial circulating supply of 90 million, which is dedicated to network security, functionality maintenance, marketing, and community growth. The remaining supply is being released over a four-year period, and 1INCH’s total supply is expected to reach 1.5 billion by December 2024.
The 1inch Network offers a variety of DeFi services to its users, including the 1inch DEX Aggregation Protocol and the 1inch Network Liquidity Protocol, which allows for decentralized token swaps. The platform's user-friendly web interface aims to eliminate all technological restrictions associated with DeFi functions, allowing users to access the DeFi sector and monitor their investments in real-time from anywhere in the world.
1INCH token holders are granted equal voting rights in 1inch’s future progress as a platform, allowing them to submit ideas for a community vote. The governance system of the network decides the weight of each holder’s vote according to the number of 1INCH they have staked in a network wallet. Additionally, the token is used as a reward to 1inch Network validators and liquidity providers.
The 1INCH token also acts as a utility token on the 1inch Network. Users can stake their 1INCH tokens to access exclusive features on the platform such as lower trading fees, access to liquidity pools, and higher withdrawal limits. Additionally, 1INCH can also be used as collateral on the platform to borrow other assets and participate in lending and borrowing services.
In terms of adoption, the 1inch Network has seen significant growth in recent years. As of June 2022, the platform had over 1 million registered users and had processed over $10 billion in trading volume. The platform's unique aggregation engine and multi-chain capabilities have made it a popular choice among DeFi users looking for the best prices and rates on their trades.
1inch Network also has a strong community and partnerships with other leading projects in the DeFi space. The platform has collaborated with projects such as Compound, Chainlink, and Aave to bring more DeFi services to its users.
In conclusion, the 1inch Network is a revolutionary DeFi platform that delivers deep liquidity to the market by using its multi-chain aggregator. By using the 1INCH token, users can access exclusive features, participate in governance, and access lending and borrowing services. With its strong community and partnerships, the 1inch Network is well-positioned to continue its growth and adoption in the rapidly expanding DeFi market.
The investment information, comments, and recommendations provided here do not fall under the scope of investment consulting. Therefore, making an investment decision based solely on the information and comments provided here may not yield results that meet your expectations.
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