1Inch Exchange - Find Best DEX Trading Prices & Best pools to Invest in

By LiteLiger | LiteLiger Blog | 27 Jul 2020

1Inch Exchange Overview

Today ill be talking about about a DEX aggregator known as 1inch exchange that's been around for while, but also managed to do nice load of different updates as of late. To put it shortly 1inch is a website where you can hook your Web 3 wallet in (many options available) and start looking for best trading prices for certain ETH token pairings cross the network. The website will aggregate possible prices from websites like airswap, uniswap, uniswap v2, radar relay, Mooniswap, Bancor, Balancer, Kyber and many others.

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You are able to insert also custom tokens long as you have the contract address if you are looking for certain specific niche or pairing you desire. The website allows you edit price slippage and also use their native token called "chi", which is used to cut down costs on gas fees.

The idea for the Chi token is based on the original Gastoken GST2 implementation. We saw that there were ways to improve the efficiency with:

Reducing the smart contract address size by mining a private key with Profanity address generator, which allowed us to decrease size of the sub smart contracts by 1 byte.
Using CREATE2 instruction to deploy sub smart contracts for their efficient address discovery during burning process.
Fixing ERC20 incompatibilities of GST2

Chi vs. GST2?

The Chi token is 1% more optimized for minting, and 10% more efficient for burning when used, see the number chart below.

y = 15000 * x / (20065 + 5065 * x) // GST1
y = 24000 * x / (35974 + 6689 * x) // GST2
y = 24000 * x / (35678 + 6053 * x) // CHI

How Chi can be used?

The deployment of a Ethereum smart contract requires substantial gas, and it could cost you for example between $5 and $10 per million of gas, while regular smart contract could have size of several millions of gas. But burning Chi tokens in the same transaction would reduce these costs by almost the half.

Among the aggregated prices you will be saving some money on the gas fees by using the 1inch exchange service, which comes in pretty handy when fees are this high currently. You can do your own calculations obviously, but 1inch is also taking account gas fees from each service listed on their site that you are able to toggle off if you prefer.

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Another cool feature of 1inch is their filters of Liquidity and lending pools. No longer you have to go each site to compare what are going to be best rates for you if you are gonna be lending or just providing liquidity to said pools, 1inch will do the calculation for you and finds the best rates. They have pretty much all the major sites listed, maybe one or two might be missing, but im sure if there is good demand they will be added there in future.