1inch Becomes the Second DApp on Optimism – What Users Can Expect
Image courtesy of Unsplash.

1inch Becomes the Second DApp on Optimism – What Users Can Expect

With the 1inch expansion to Optimistic Ethereum, users are poised to save between 2x to 10x in gas fees.
Neither the author, Tim Fries, nor this website, The Tokenist, provide financial advice. Please consult our website policy prior to making financial decisions.

1inch, a prominent decentralized exchange (DEX) aggregator, has unveiled its implementation on the layer-2 scaling solution Optimistic Ethereum (OE) mainnet. The DEX aggregator believes this expansion would significantly reduce gas fees while increasing transaction speeds.

1inch Expands to Optimistic Ethereum

1inch, a DEX aggregator that scrapes a number of decentralized exchanges to find the cheapest prices for rerouting its users’ trades, has expanded to Optimistic Ethereum mainnet. Reportedly, the 1inch Aggregation Protocol has already been deployed on the OE mainnet.

Optimistic Ethereum, commonly designated as OΞ, is a layer-2 scaling solution for decentralized applications (DApps). The layer-2 scaling solution utilizes optimistic rollups—constructions that run on top of Ethereum’s base—to achieve far lower fees while increasing transaction speeds.

In the official announcement, 1inch stated:

“The deployment on Optimistic Ethereum (OΞ) will help to substantially increase transaction speeds and lower gas fees for 1inch users.”

Reportedly, users can already commence migrating assets to the OE mainnet using the Optimism Gateway. Further, OE is compatible with numerous popular crypto wallets such as MetaMask and WalletConnect. 

Jing Wang, co-founder at Optimism, commented on 1inch’s move to expand to Optimism, saying:

“It’s been a pleasure getting to know the incredible technical minds on the 1inch team, and now we are so stoked for the launch of 1inch on OΞ. This integration brings users the best prices across multiple DEXes at the fastest speeds on OΞ.”

Meanwhile, 1inch is not the only exchange that has been implemented on the OE mainnet recently. In July, the automated liquidity protocol and the most popular AMM on Ethereum, Uniswap, launched its V3 on the Optimistic Ethereum mainnet.

1inch Users to Enjoy Optimistic’s Scalability

All the deposits that utilize the Optimistic Ethereum network would be instant, with next to no latency. However, the withdrawal process is estimated to be around 7 days. The team expects the waiting time dilemma to be resolved once the fast withdrawal service is enabled.

At the time of launch, the Optimistic Ethereum network would be limited to 0.6 transactions per second. This limitation is set by the 1inch team to avoid possible failures during the early stage of deployment. Nevertheless, the team intends to increase transaction speed as they optimize the infrastructure.

Anton Bukov, co-founder at 1inch, asserted that the number of transactions per second on Optimism Ethereum can jump to 2,000 once the network launches an optimized version. Such large scalability can drastically increase transaction speeds while keeping transaction fees at an exceptionally low level. 

Following the expansion to Optimistic Ethereum mainnet, the gas fees are also projected to decrease substantially. Bukov expects 1inch users to save somewhere between 2x to 10x from now on. He said:

“The reduced gas fees became possible due to the architecture of the Optimistic network, which only needs to transfer compressed state changes to Layer-1 (L1) and doesn’t have to pay for calculations on L1.”

As of now, 1inch is available on four major blockchains, including Ethereum, Binance Smart Chain, Polygon, and Optimistic Ethereum. As Ethereum’s 2.0 upgrade continues to advance, other blockchains like Binance Smart Chain continue to develop.

However, the 1inch team has shown intent to bring support for more blockchains, including Ethereum competitor Solana which has recently burst in price. 

Join our Telegram group and never miss a breaking DeFi story.

In just two months, two prominent DeFi projects Uniswap and 1inch have expanded to the Optimistic Ethereum mainnet. Do you think more projects would follow suit? Let us know in the comments below.

Cookies & Privacy

The Tokenist uses cookies to provide you with a great experience and enables you to enjoy all the functionality of the site.