What is 1inch and how does it work?

1inch is a DEX aggregator, i.e. it searches a few decentralized exchanges for the cheapest prices and redirects its clients’ trades between them to guarantee the best prices.

When you want to buy a cryptocurrency you are going to search in different Dexs, where prices are varied, as well as commissions. What 1inch does is to look for the cheapest way to perform the operation using the different exchanges.

To do this we open the exchange page and connect our wallet, such as MetaMask, there are also other options such as Ledger or WalletLink. If we want to exchange Ethereum for Wrapped Bitcoin we select Ethereum in the pay option and Wrapped Bitcoin in the receive option.

Don’t forget that you will need Ethereum to pass the gas fee we have to pay to the miners for making transactions. Then we buy Ethereum on Binance and transfer it to our wallet on MetaMask. 

How to buy the 1INCH token?

We can buy the 1INCH token on major cryptocurrency exchanges, and on the 1INCH exchange itself. For example Binance and KuCoin support 1INCH. The biggest marketplace for 1INCH trading for Bitcoin is Binance and for Tether trading is 1inch itself.

If we want to buy 1INCH on binance, we will have to load our wallet with the coin paired with 1inch and then use the appropriate platform to exchange it for 1INCH.

In conclusion, the estimation about the future of 1INCH depends on decentralized finance, decentralized exchanges still have high and arduous prices, as well as less relevant if we compare it with centralized exchanges like binance. However, these centralized exchanges suffer downtimes when there is volatility in crypto prices, so interest in decentralized ones is rising.

The exchange is creating new liquidity protocols quickly because a portion of the 1inch token supply is used in its development. Development is not likely to slow down as long as the market does not bottom out.

© Cryptoticker

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