According to 1inch co-founder Sergej Kunz, decentralized funding platform 1inch on Thursday announced a name change to “1inch Network” – a facelift designed to better reflect the current and future state of the multi-channel platform. and multiprotocol.
“For us, it’s a logical decision. Me and Anton started with just one aggregation protocol at the ETHNew York hackathon in 2019 and now we have the whole ecosystem of protocols, such as: 1inch Liquidity Protocol (previously Mooniswap), 1inch Aggregation Protocol, instant governance and governance / utility 1INCH token, ”he says.
Implementations of the various protocols have also extended beyond Ethereum, with the team announcing a deployment to Binance Smart Chain last month. As such, the next natural step for the project – now the “network” – is more teams, more protocols and more chains. Kunz said:
“This month, we plan to deploy a new protocol and another new product in addition to the 1 inch network. Two other teams are currently evaluating with the 1inch Foundation to join the network with two other protocols. “
The growth strategy appears to be conceptually similar to the expansion of Yearn.finance at the end of 2020. In this case, Yearn, a performance vault protocol, has announced a series of mergers and acquisitions to be incorporated into a variety additional protocols including CREAM money market and decentralized SushiSwap exchange. These mergers have already proven successful, as CREAM’s Iron Bank protocol-to-protocol lending platform is currently being used to bolster Yearn vaults.
However, 1inch Network takes a more bottom-up approach to integrate complementary protocols. Kunz noted that both teams considering joining 1inch Network are looking to apply for grants through the 1inch Foundation and that other teams are also invited to apply. Currently, 1inch Labs employs “approximately” 40 people and the foundation also provides grants to contributors separately.
The multifaceted growth strategy is part of a larger goal of decentralizing the development of the different protocols to coincide with the future fully decentralized governance through a fork of the governance structure of Compound.
“As primary contributors, we want to see more people and teams participate and contribute to the 1inch network. Not only should a team be a primary contributor, but as much as possible. All protocols benefit from each other and will use the 1INCH token in their own protocols in different ways. “
When asked about the possibility of launching a 1-inch network sidechain on Polkadot, Kunz did not rule it out, saying the team is currently “investigating” Polkadot as well as Ethereum’s layer two implementations with Optimism and zkSync. Kunz also invited new network teams to set up their own implementations.
Ultimately, the expanded reach and team allows 1 inch to tackle a variety of initiatives at once, Kunz said.
“We see that the approach with multiple teams working on a large network of great products is a scaling solution that allows [us] go fast.