1inch

The 1inch liquidity protocol is an AMM (automated market maker) designed to enhance liquidity and leverage virtual balances to minimize impermanent loss. Users can take advantage of providing tokens as liquidity on the 1inch platform through a process known as “liquidity mining.” By locking in assets like ETH (ether) into designated pools, traders have the opportunity to earn interest in the form of 1INCH, the native token of the 1inch platform. This approach resembles the concept of native exchange tokens like UNI from Uniswap, and it actively promotes the provision of liquidity by the community.