What is 1inch Network? How to Buy 1INCH in South Africa?
1inch is a decentralised exchange aggregator that plays an important role in the defi ecosystem. Learn more below.
The crypto space is one that is continually evolving and growing. With the continual increase of adoption, there is demand for more efficient and reliable ways to improve the trading experience across multiple platforms.
This is where the 1inch decentralised exchange (DEX) aggregator comes into play. It is a project that scans through multiple exchanges to enable users to get the most ideal prices for your tokens.
- 1inch is a decentralised exchange (DEX aggregator that scans exchanges to curate the lowers crypto prices for traders.
- The native 1INCH token serves as utility and governance on the platform, and also facilitates liquidity through token mining.
What is 1Inch?
As briefly mentioned above, 1Inch is a decentralised exchange aggregator whose function is to facilitate the trading between exchanges and traders.
To further understand 1inch, we first need to take a closer look at decentralised exchanges (DEX). In the crypto space, there are 2 types of exchanges: centralised and decentralised exchanges.
Centralised exchanges (CEX) such as Coinbase and Binance, use an order book system to match the buying and selling parties on the open market. Additionally, these exchanges take custody of your crypto, holding your assets in their exchange-based wallets – similar to trading traditional securities.
Decentralised exchanges (DEX) on the other hand use automated, self-executing smart contracts to match the orders and use a non-custodial system. And this is where 1inch shines, helping to facilitate the traders to find the best possible prices for the coins they want to purchase.
How Does 1Inch Work?
1Inch uses the Pathfinder algorithm to find the best deals for the cryptocurrency prices from more than 60 liquidity sources on Ethereum, 30 on Binance, and 30 on Polygon, Optimistic Ethereum, and Arbitrum.
The 1Inch platform is designed for ease of use, so you can buy or sell your cryptocurrency instantly on this platform. You can even use this platform from your mobile phone if you want.
In addition, they use Mooniswap as their liquidity protocol. It provides you to earn passive income by depositing in 1Inch liquidity pools.
Mooniswap also supports the feature called virtual rates which aims to address trade front running issues. It could happen when a malicious trader or bot bids a higher fee to have their transaction be placed first on the blockchain network.
The 1Inch team has created a limit order protocol that allows traders to place more advanced, conditional orders beyond standard swap orders.
These features allow traders to automatically lock in profits at certain prices or prevent losses by placing conditional orders beyond standard swap orders.
Since the launch of 1Inch on December 25, 2020. It has been airdropped to their community and given the opportunity to have instant governance.
There is no maximum supply of the 1 INCH token, but they have distributed 6% of the 1.5 billion total tokens. At the time of this writing, there are 535,763,770.46 1INCH in circulation.
Curious about tokens? Exploring the Types of Cryptocurrency Coins and Tokens.
What is 1INCH Token Used For?
1INCH is an ERC20 token that will be used to govern the 1inch ecosystem. The main purpose of 1inch is to enable users to vote on decisions and proposals made by the team and community.
The 1INCH platform is based on the idea of decentralisation, which means there will be no central authority or headquarters. Instead, all decisions are made by the community through voting using their tokens.
In order to participate in the instant governance of the 1inch ecosystem, users must stake their tokens in 1 inch.
What is an ERC-20 token? In short, these are simply tokens that are used on the Ethereum blockchain and act as assets that facilitate the various utilities and functions on the network. Learn more with our guide.
After staking, users will receive voting rights on certain decisions that concern the future development of 1inch. Additionally, the token can be used for staking. You can earn some perks by lending funds to 1Inch network liquidity pools.
To reduce significant gas charges, 1Inch has created a second token known as CHI. It’s an ERC-20 “gas-token” that uses the Ethereum Storage Refund protocol. CHI is not an investment token like the 1INCH token.
It works by pegging the Ethereum network’s gas price. It only mints when the gas price is low, but it will be burned when the gas price is high.
1Inch Wallet is a mobile wallet which is developed by 1Inch Network. The wallet is a light-weight and easy-to-use tool, it supports all major cryptocurrencies and tokens.
It aims to allow users with effortless access to the enormous DeFi market and support token swapping functionality that is provided by 1Inch DEX.
The wallet is available on both iOS and Android systems. Users can easily manage their assets through the one-button interface. The wallet also supports multiple wallets with multiple addresses, which can be used for different purposes or different exchanges.
The new wallet comes with full control over your private keys: you have complete control over your assets because your private key never leaves your device; there are no registration requirements or any other service fees; there are no limits for deposits or withdrawals; and it doesn’t require KYC checks to use it.
Must read: How to Create and Manage Your Passwords The Smart Way?
How to Buy 1Inch (1INCH) in South Africa?
With that said, what are your own thoughts on the 1inch exchange aggregator?
The utility that 1inch provides to facilitate both decentralised exchanges and traders is an essential element for the future growth of DeFi.
If you feel bullish about the technology and innovations that 1inch provides to the crypto space, consider adding their native token 1INCH to your crypto investment portfolio.
Here at Easy Crypto South Africa, we provide over 160+ cryptocurrencies including 1INCH. We are a non-custodial exchange, meaning we deliver your crypto assets directly to your crypto wallet, where you hold true ownership of your assets unlike centralised exchanges.
New to crypto wallets?
Here are some guides to get you started:
Invest in the 1inch network: Buy 1INCH with Easy Crypto ZA.
1inch (1INCH) is just one of over 160+ cryptocurrencies that we provide here at Easy Crypto. Our collection of crypto assets include:
- NFT Tokens
- Metaverse Tokens
- DEX (Decentralised Exchanges)
- DeFi (Decentralised Finance)
- And many more.
Check the rates: Use the crypto converter tool to check the latest rates for 1INCH/ZAR.
Check our video guide below on how to buy cryptocurrency with Easy Crypto ZA!
For a more detailed guide: Follow our quick guide.
Stay tuned for more crypto coin guides! In the meantime, explore our library of crypto coin fundamentals on our learning hub at Easy Crypto South Africa.
Make sure to follow our Twitter, Instagram, and YouTube channel to stay up-to-date with Easy Crypto!
Also, don’t forget to subscribe to our monthly newsletter to have the latest crypto insights, news, and updates delivered to our inbox.
Disclaimer: Information is current as at the date of publication. This is general information only and is not intended to be advice. Crypto is volatile, carries risk and the value can go up and down. Past performance is not an indicator of future returns. Please do your own research.
Last updated May 11, 2023