1inch Network has just revealed their new Fusion update for the 1inch Swap Engine, solidifying its position as one of the top decentralized finance aggregators. The network's Fusion upgrade seeks to provide crypto investors with dependable, safe and profitable exchanges at a lowered cost.
The update to 1inch is designed to maximize revenue potential, safeguard users' funds, and provide a seamless user experience in the decentralized finance sector. 1inch's Swap Engine connects DeFi users and provides liquidity for crypto trades with the use of professional market makers, operating as a decentralized trading and matching backend system.
“Fusion makes swaps on 1inch dramatically more cost-efficient, as users won’t have to pay network fees, plus, an extra layer of security is added, protecting users from sandwich attacks," shares Sergej Kunz, 1inch Network co-founder.
Taking a revolutionary step away from the standard centralized system, 1inch's latest upgrade affords investors to securely make noncustodial swaps without needing permission or trusting any third-party. These transactions occur in an entirely trustless and autonomous manner.
As announced, 1inch is providing seemingly endless liquidity and utilizing a cutting-edge decentralized order-matching approach modeled on the Dutch auction model. The Dutch auction model proceeds by determining a ceiling price for an asset, starting at its higher level, and then gradually lowering until bidders are willing or able to accept the current price. This approach allows DeFi users to find the best rates when making transactions on 1inch.
1inch's new Fusion mode enables users to trade tokens across decentralized exchanges (DEXs) without incurring any network fees. The improved version also grants users the autonomy to decide when their order should be executed based on their individual requirements.
In addition, the Fusion mode ensures protection against MEV (Maximum Extractable Value), which is indicated as the maximum amount which can be harvested from block production outside and in excess of regular gas fee and reward.
1inch's Fusion upgrade also comes with the introduction of its Resolver Incentive Program, a new system that provides resolvers with a refund on the gas spent for filling orders in Fusion mode. However, 1inch has noted that this will only be applicable until the 31st of December this year.
"As resolvers will fill orders without trying to minimize their gas costs, they will offer better swap rates to users. As a result, regular users will be the main beneficiaries of the program." 1inch clarified in a blog post.
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