Everyone is talking about Decentralised Finance (DeFi). Decentralised exchanges (DEX) such as Uniswap currently play the main role. But there are many other decentralised exchanges where you can sometimes get better prices. This is where the DEX Aggregator 1inch comes into play.
The decentralised platform of 1inch compares the prices of all major decentralised exchanges and provides you with the best price. But that is by far not all that 1inch has to offer.
Today 1inch has further optimised its platform and released a major update. Not only the design and the handling has been improved, but especially the technical components.
The main highlights of the new update of 1inch are the new Pathfinder, an API, a new discovery- and routing algorithm and an intuitive and user-friendly interface.
The update of 1inch guarantees the best rates for swaps and at the same time drastically reduces reaction and loading times. If you are a decentralised company, you should definitely take a look at 1inch. This link will take you to the official website of 1inch.exchange.
1inch V2 – Overview of all improvements
The latest version of 1inch provides the user with many new possibilities and functions. The heart of the new version is the Pathfinder, an API with a new discovery and routing algorithm that finds the best possible paths for a token swap in the shortest possible time.
The swap is not only split across multiple supported liquidity protocols, but also uses the new Pathfinder algorithm with multiple „market depths“ within the same protocol. The use of „market depths“ is a significant improvement.
Pathfinder uses different „market depths“ as bridges between source and destination tokens. This gives the user a better rate than by simply splitting a swap between different protocols. Of course taking into account the gas consumption.
It is exactly this algorithm that makes it possible for 1inch to offer a rate for 1 sBTC-sUSD, for example, which is almost 98% better than the rate offered by Uniswap.
The new user interface has been redesigned from the ground up and offers a much more attractive and easier interaction with the platform than the previous version.
For the new user interface, 1inch has been collecting feedback from its users for weeks to make the interface as intuitive and user-friendly as possible.
The platform has now also added a table showing the output value of a user in USD. Previously there was only the indication of the token quantity and the transaction fee. Now you get a wonderful overview of the respective trade in USD.
The UI is based on a module model. There is a basic swap module that contains all necessary information in a minimal format.
There are also two additional modules: a price chart for a selected pair and a comparison table. You can combine these modules in the way that is most convenient for you.
Fastest on the market
With the latest version of 1inch there are a number of improvements over the previous version. But most people will probably notice one thing above all – the improved speed.
Long waiting times are a thing of the past. The response time has been reduced from 6 seconds to 0.4 seconds, the page load time from 5 seconds to 1 second and the API response time from 5 to 1 second.
1inch v2 supports all major protocols:
Uniswap V1, Uniswap V2, WETH, Balancer, Curve, Chai, SushiSwap, Kyber, Oasis, Mooniswap, Compound, Aave, Yearn, Bancor, PMM, C.R.E.A.M. Swap, Swerve, BlackholeSwap, Value Liquid, DODO, Shell.
However, the platform is already working on integrating other protocols.
Thanks to Pathfinder, users will be able to pack, unpack and migrate collateral tokens from the Aave and Compound lending protocols as part of the swap path.
Aave and Compound are lending protocols that package other tokens into collateral tokens, such as Compound’s USD-bound token cUSD.
Typically, users can only hold the collateral tokens and must contact the protocol directly to unpack or repack them into collateral tokens. The same applies if one wants to migrate the tokens to another pool.
With the latest version of 1inch, this problem has also been solved. The entire process is completed in just one single transaction. This saves time and money.
On 1inch, users can also easily exchange the collateral tokens held in the pools, with the entire packing and unpacking process taking place automatically.
Partial and dynamic filling mechanism
In decentralised trading, failed transactions are a recurring feature. The user gets his tokens back but the transaction fee is still due.
Therefore 1inch now provides a solution in its latest version to reduce the probability of failed transactions. To achieve this 1inch uses the partial and dynamic filling mechanism.
When a user swaps to 1inch using splits or different routes, the platform ensures that the swap is performed at the rate that was offered to the user in the user interface.
If the rate in any of the protocols has changed, part of the route can easily be cancelled. Instead of a failed transaction, the user’s tokens that have not been swapped return to his wallet.
The dynamic component comes into play so that parts of the swap can immediately change to another protocol in the split or path. For example, a swap is split between Uniswap, Sushiswap and Balancer.
This means that the swap can still be executed within the limits of the rate acceptable to the user.
Swap overhead optimisations
1inch has reinvented its Aggregation Smart Contract Proxy. This now makes it possible to set up highly complex transactions. The 1inch V2 Smart Contract has been completely redesigned from scratch.
1inch V2 reduces the aggregation overhead gas costs for direct swaps, e.g. to uniswap, almost to zero. Complex (multi-path) swaps are also optimised to minimise gas costs.
Maximum return and lowest gas costs
Pathfinder’s new features also include the „Maximum Return“ and „Lowest Gas“ options.
When a user selects the former option, complex routes are used for the exchange to ensure that the user gets the best tariffs.
In the „Lowest Gas Price“ option, swaps are carried out at market prices, without splitting between different exchanges or complex routes, allowing the user to pay the lowest possible transaction fee.
Smart Contracts have to be put through their paces by different audit companies in the best case. 1inch has long been committed to this and has had its Smart Contract audited by eight companies.
These include: Certik, Hacken, Scott Bigelow, Mix Bytes, Coinfabrik, Haechi Labs, SlowMist and Chainsulting. Two more audits by OpenZeppelin and Consensys Diligence will be added in the near future.
With 1inch you get the best DEX Aggregator on the web. The platform connects the most important and largest decentralised exchanges and offers an intuitive user interface.
Not only the attractive and user-friendly design is worth mentioning, but also the sophisticated algorithm that always finds the best price on the different protocols.
In addition, 1inch’s new version has also minimised the probability of transactions failing. This is mainly due to the new mechanism of partial and dynamic filling.
These improvements through 1inch v2 allow users to save even more money on swaps. The platform is currently the most advanced and affordable DEX aggregator on the web. Try out the latest version of 1inch today!