The Fusion API in the 1inch dApp
The 1inch dApp uses the Fusion API to offer users smooth and safe swaps.
Tools offered to Web3 developers by the 1inch Developer Portal are actively used in our own products. Today, we'll explore how the 1inch Fusion API is used to enhance the smoothness and security of intent-based crypto swaps in the 1inch dApp.
The integration of the Fusion API in the 1inch dApp to power Fusion mode swaps offers users a range of undeniable benefits.
Firstly, users engaging in crypto swaps via Fusion mode benefit from favorable market conditions by securing the best possible exchange rates.
Moreover, users can execute trades without incurring network fees or the necessity of holding native tokens for various networks. This is particularly significant for some traders who view the requirement to possess network-native tokens for fee payment as a considerable barrier to entry.
Another key point is protection against maximal extractable value (MEV) attacks. Users swapping in Fusion mode are safeguarded from various MEV strategies, such as front running and sandwich attacks, which could cause significant losses, especially in large transactions.
The application of the Dutch auction model is key to securing improved order fill rates, as it adjusts prices over time in response to real-time market and gas price fluctuations. This dynamic pricing mechanism guarantees that transactions are completed promptly and at fair rates.
Meanwhile, competition among resolvers — professional market makers filling swap orders — boosts the chances of successful order completion.
Fusion mode also incorporates automatic safety features that switch to Classic mode under certain conditions to prevent potential financial losses. The option to fill orders partially helps minimize price impact, which is essential for swaps involving large volumes.
Another significant factor for traders engaging in swaps is access to liquidity. Fusion mode sources liquidity from the entire cryptocurrency market, including centralized exchanges (CEXes) via professional market makers, providing multiple sources for each token. This is vital for carrying out large trades without significant slippage.
Lastly, Fusion mode offers users almost instant transaction confirmations, improving the trading experience.
To dive deeper into 1inch Fusion API, check out this post.
The integration of the Fusion API can offer major benefits to various projects in the crypto sector, whether they are exchanges, wallets, DeFi platforms or other blockchain-based services.
If you have questions about possible integration of the Fusion API or any other 1inch API into your project, please, reach out to our business development team.
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