1inch is a decentralized exchange (DEX) aggregator that revolutionizes crypto trading by sourcing liquidity across multiple platforms to offer users the best possible rates. Founded in 2019 by Anton Bukov and Sergej Kunz, 1inch has become a go-to solution for ERC-20 token swaps.
👉 Discover how 1inch outperforms traditional DEXs
Company Overview
1inch operates as a non-custodial DEX aggregator, meaning it doesn’t hold users’ funds. Instead, it connects with top decentralized exchanges like Uniswap, Kyber Network, and Balancer to find optimal trading paths. Key features include:
- Smart contract technology: Automatically splits trades across multiple DEXs to minimize slippage.
- 1INCH token: Serves as both a governance token and a staking/liquidity mining asset.
- Zero platform fees: Only network (gas) fees apply.
Key Features of 1inch Exchange
1. Best Rate Discovery
1inch scans dozens of DEXs in real-time to ensure users always get the most favorable pricing.
2. Fee Structure
- No deposit/withdrawal fees
- Only Ethereum/Polygon/BSC gas fees apply
- Price impact fees contribute to staking rewards
3. Supported Wallets
The platform integrates with popular wallets including:
- MetaMask
- Ledger
- WalletConnect
- Trust Wallet
4. Liquidity Pools
Users can participate in these major liquidity mining pools:
- 1INCH-ETH
- 1INCH-DAI
- 1INCH-USDC
Tradable Assets on 1inch
1inch supports 400+ ERC-20 tokens, including:
- Stablecoins (USDC, DAI)
- DeFi tokens (UNI, AAVE)
- Governance tokens (COMP, MKR)
Note: Non-ERC20 assets like Bitcoin aren’t supported.
Passive Income Opportunities
Staking
Users can stake 1INCH tokens to earn rewards from swap fees. APYs vary based on pool activity.
Liquidity Mining
Provide liquidity to designated pools to earn trading fees and additional 1INCH tokens.
👉 Learn advanced DeFi strategies with 1inch
How 1inch Works Technically
- User submits trade request
- Algorithm splits order across multiple DEXs
- Smart contracts execute simultaneous swaps
- User receives optimized output
This process typically completes in under 30 seconds.
Fee Comparison
| Fee Type | 1inch | Traditional DEXs |
|---|---|---|
| Platform Fee | 0% | 0.3%-1% |
| Gas Fee | Variable | Variable |
| Slippage | Minimized | Often higher |
Pros and Cons
Advantages
✅ Best-price routing across 50+ DEXs
✅ 400+ ERC-20 tokens supported
✅ Passive income through staking
Limitations
⚠️ High gas fees during network congestion
⚠️ Complex for beginners
⚠️ No US availability
Security Measures
As a non-custodial platform, 1inch offers:
- No central point of failure
- Wallet-based authentication
- Regular smart contract audits
Always verify you're on the official 1inch.io domain to avoid phishing scams.
FAQ Section
Q: Can US citizens use 1inch?
A: No, 1inch currently restricts access from US IP addresses due to regulatory limitations.
Q: How do I reduce gas fees on 1inch?
A: Use Polygon or BSC networks instead of Ethereum for lower-cost transactions.
Q: What's the minimum staking amount?
A: There's no set minimum, but higher stakes typically yield better returns.
Q: How often are liquidity rewards distributed?
A: Rewards are calculated block-by-block and can be claimed anytime.
Final Verdict
1inch excels as a sophisticated DEX aggregator for ERC-20 tokens, offering:
- Best-price execution
- Multiple passive income streams
- Robust security
For traders outside the US seeking optimized DeFi swaps, 1inch represents a top-tier solution. Beginners should start with small transactions to understand the gas fee dynamics.