- Now, the 1inch protocol is something that is a decentralized exchange (DEX) aggregator.
- Dex is also a peer-to-peer marketplace where buyers and sellers are connected directly and where cryptocurrencies can also be traded without an intermediary who always controls the coin.
This is the content piece where the dex aggregator always allows users to find the best prices across the market just by accessing financial liquidity from multiple dexes. Additionally, the 1INCH token is something that acts as the governance token-holder that can make decisions and shape the entire future of the 1inch protocol.
Meet The Creator Of The 1Inch Crypto
So, in May 2019, Sergej Kunz, along with Anton Bukov, two Russian developers with backgrounds in smart contract security, founded the 1inch crypto network. Also, the idea for 1inch was developed at a hackathon in just over 60 hours in New York City.
It is always observed that the growing popularity of DEXes led all the developers to decide to create an aggregator. So, there are also users who would not have to fiddle around with different services. 1inch was the first DEX aggregator ever and it got much more popular over time.
How Does 1inch Work?
So, there are some decentralized exchanges (DEXs) that always offer an alternative to traditional centralized exchanges. Also, on a DEX, users can transact tokens directly with each other without the need for an intermediary.
1inch is also a decentralized exchange aggregator that sources data from different DEXs to find the best prices for users. Also, the 1inch platform always uses a smart contract that automatically finds the best prices for users. There is also a smart contract that searches for the best prices on different exchanges.
Later, all the trades are made directly between different users on the platform, and after some time, that particular platform does not hold any user funds. Also, the entire 1inch platform is trustee-less, which means that all the users do not need to trust any central party with their particular funds.
People also need to know that 1inch will aggregate across different liquidity pools, along with recommending the most effective way to just trade tokens rather than exchanging them from a single liquidity pool or the pool of accessible transactions on a DEX platform.
Now, as a DeFi platform, a 1inch network always enables its users to vote on and then suggest modifications to the entire ecosystem for improved usability and eco-friendliness. People can also very easily exchange 1INCH tokens for other cryptocurrencies to earn more profit.
This is also the system that always allows people to compare cryptocurrencies‘ prices and then optimize different crypto trades from different dexes so that they can find the best deals without going through each exchange manually.
Conclusion
Finally, people need to know that the 1inch protocol was one of the most important inventions in the entire DeFi space because it always uses a bunch of different protocols so that they can just develop the first-ever decentralized exchange aggregator.
Later, the network is something that allows users to find the best possible prices for their particular crypto transactions. The protocol is also one that is still evolving and innovating.
Dr. Naveen Singh is an entrepreneur with achievements in sports, academics, healthcare, innovation, blockchain technology, telecommunications, and philanthropy. He is the Co-Founder and Chief Executive Officer (CEO) of Inery, the first layer-1 blockchain programmed for database management. With Inery, he aligns with his vision of a new paradigm for data to empower web3 and complete decentralization.