1inch Protocol Secures $12 Million Series A Funding to Fuel DeFi Innovation

Major Backing for 1inch

The cryptocurrency realm is buzzing after the 1inch protocol announced a triumphant Series A funding round, bagging an impressive $12 million. This round wasn’t just a casual stroll in the park; it was spearheaded by Pantera Capital, one of the key players in venture funding for the crypto space. Joining the party were 10 other funds, including some heavyweights like ParaFi Capital and Blockchain Capital.

The Angel Brigade

If that weren’t enough, three influential business angels decided to sprinkle some extra magic on the fundraising endeavor. They include:

• Josh Hannah – Partner at Matrix Partners.
• Kain Warwick – Founder of Synthetix.
• Alexander Pack – Founder of Dragonfly Capital.

With such a star-studded cast backing them, it’s safe to say that the confidence in 1inch’s potential is sky-high.

Expanding the Team and the Horizons

The freshly acquired funds will fuel the expansion of the 1inch team. Co-founder Sergej Kunz shared that they’re not only riding the wave of their recent $2.8 million seed round but are also diving deep into multiple developmental projects. “Currently, the whole 1inch team is working really hard on various initiatives,” he revealed. These include an update for the liquidity protocol of Mooniswap and the eagerly awaited 1INCH utility token, boasting snazzy instant governance features.

Pumping Innovation into DeFi

2021 is shaping up to be a fruitful year for 1inch, with three unannounced products already on their roadmap. However, canvassing the necessary talent won’t come cheap. Kunz pointedly mentioned, “We will need to hire more highly qualified and thus quite expensive specialists.” And speaking of hiring, a portion of this funding will also go toward boosting their marketing efforts—particularly eyeing the Asia Pacific region where Chinese users are keen to dip their toes into the DeFi waters.

The Genius Behind 1inch’s Technology

But what exactly is 1inch? For the uninitiated, it’s a decentralized exchange (DEX) aggregator that smartly distributes orders for the best prices available. Its Pathfinder algorithm meticulously combs through major automated market maker (AMM) protocols, utilizing sophisticated tactics to fetch the best rates. They didn’t stop there; the 1inch team launched Mooniswap—an AMM designed with a groundbreaking concept of virtual pool balances to smoothen price fluctuations over five minutes. This clever move aims to reduce the risk associated with front-running and impermanent loss.