What is 1Inch and how to use it

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DeFi dapps explained

During 2020, the 1inch dapp more than doubled its daily activity, becoming one of the top DeFi dapps on Ethereum. Partly this rise has been driven by DeFi’s overall momentum, but 1inch has performed particularly well even within this category, thanks to its simple UX and smart features. 

At heart, 1inch is a decentralized exchange, enabling users to trade ERC20 tokens. The clever element, however, is the aggregation part, which enables it to leverage the liquidity of other DEXes such as Uniswap, Kyber, and Oasis Trade. This is particularly important when exchanging large token amounts as it reduces the price slippage, ensuring trades are optimized for the best price. 

Users can further improve the performance of their trading using 1inch’s CHI token, which reduces gas costs of transactions on the Ethereum blockchain. Also, 1inch allows more advanced users to set up limit orders; which are token exchanges that will only be triggered if the token price fulfills a preset target set by the user. Furthermore, 1inch also enables users to easily lock tokens into lending protocols and/or provide liquidity to exchanges. 

Now you have a better idea of what the 1Inch Exchange is and can offer let Jon Jordan take you through the dapp and see how it all works. 

Of course, remember all DeFi dapps are experimental and come with risk. Never lock up more value than you’re prepared to lose if something should go wrong.

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