1inch, the world’s largest decentralized exchange (DEX) aggregator has established a stronghold in the DeFi realm. Now, it’s seeking to become a household name as it expands into traditional finance (TradFi). The platform aggregates liquidity across various DEXs to ensure the most competitive rates when executing trades. To date, it has handled more than $500 billion in volume. 1inch co-founders 1inch was co-founded in May 2019 by Sergej Kunz and Anton Bukov. Today, the company is building an infrastructure to bridge the gap between decentralized finance and traditional finance. It accomplishes this by combining anti-money laundering (AML) and know-your-customer (KYC) processes to improve safety.
From farming to asset swapping, 1inch’s technology aggregates liquidity across thousands of DEXs while helping users find the best available swap rates. Its Swap Engine optimizes trades across hundreds of DEXes on 13 blockchains, routing orders through various protocols to minimize slippage and maximize returns. The firm argues that its API-driven technology is better-matched to TradFi integration, as opposed to the reverse.
“Self custody is our value proposition as well as atomic execution. We plan to expand to TradFi. From our point of view, TradFi needs to adapt for us. It is not us that has to be able to adapt to TradFi, in terms of technology because our technology is unique,”
As 1inch continues building, they’re taking a proactive approach to addressing the security problems that plague the DeFi sector. The company has established criteria for identifying and blocking wallets tied to criminal or otherwise illegitimate activities.
“We have a service that aggregates other security services who monitor all the wallets who funds, launder funds. And who move funds from central wallets, and we decline the interaction for APIs at 1inch lab for such wallets,”
The platform has rolled out Fusion+, an enhanced version of its groundbreaking Swap Engine. Fusion+ further expands the platform’s functionality, enabling trades to be intelligently routed through different DEXs to get the best price and most efficient execution. This upgrade has already enabled more than $200 million in cross-chain trading volume, proving its efficacy at making complicated transactions much simpler and quicker.
1inch is focusing on cross-chain integration, with a major emphasis on Bitcoin (BTC) and Solana (SOL) integration. The company aims to provide users with a seamless cross-chain experience comparable to that of centralized exchanges, while maintaining the benefits of self-custody and atomic execution.
“We extended this functionality with cross-chain swaps. And now, we are a cross chain marketplace for all users,”
The company is using artificial intelligence (AI) to bring together media in a powerful way, developing an integrated technological ecosystem. This new initiative is yet another testament to 1inch’s proactive approach, innovation leadership and its ultimate goal of building a full-fledged DeFi ecosystem.
1inch’s commitment to DeFi expansion extends to supporting and sponsoring projects such as Bitcoin and Solana. The firm understands the huge possibilities present in these blockchains. It is committed to supporting their development, helping them thrive in the ecosystem of DeFi at large.
“There’s no single place where you can wait for the best execution, and that’s where 1inch comes in. That’s what we’re building. The potential is huge.”
Fusion+ is a big leap forward in what 1inch can do. It provides an elegant solution by letting users define their expected results while letting market makers and traders figure out the rest of the mechanics.
“We came to the idea that we have this intent-based protocol to just say what they want to get and how it’s going to be executed is the bread of market makers and market traders,”
1inch dreaming of the future where cross-chain transactions are as simple and convenient as a single transaction can get. The company is continuing to develop an experience that will match centralized exchanges while maintaining the core principles of decentralization.
“It’s getting better and better. I think we will see in a couple of years a seamless experience like in centralized exchanges with the benefits of non-custody and atomic execution,”
The company's commitment to security, innovation, and cross-chain integration positions it as a key player in the evolving landscape of decentralized finance. Through their expansion into TradFi and embracing of cutting-edge technologies, 1inch hopes to lead the way in shaping the future of finance.
