1inch Defi exchange moves to the Binance Smart Chain due to the high ETH Gas fees as we can see more in our latest Binance news.
The 1inch Defi exchange which is a DeFi protocol for routing trades is now moving to the Binance smart Chain and hedging its bets on the ETH ability to handle more transaction volume. Launched back in 2019, 1inch routes trading orders from the ETH-based tokens now adding the BSC tokens as well, over dozens of integrated decentralized exchanges to get the best prices possible. It’s also one of the biggest DEX aggregators by trading volume with about $450 million traded over the past day:
“The 1INCH token on Binance Smart Chain will be used for a bridge between the Binance and Ethereum networks. 1inch users will get access to PancakeSwap, BurgerSwap, StreetSwap, Venus, StableSwap, JulSwap, BakerySwap and other Binance-based DEXes and lending protocols.”
Bukov explained that Binance didn’t pay for the integration but take part in the seed round in August. 1inch was forced to move onto BSC as the CTO Anton Bukov said “because Ethereum miners killed the ETH network by not raising the block gas limit.” Looking back, each block on the Etheruem network has an upper bound on how much gas can be used and this number moved up a few times since the blockchain inception in 2015 depending on the factors like state size growth, transaction fee pressure, and uncle block rate.
The high fees garnered support for increasing the gas rate from application developers and it is unlikely to happen but as alrge3 increase in eTH state size happens, it will risk denial of service attack. Many applications were looking somewhere else as the gap widened and some apps like Synthetix and DyDx chose ETH-based rollups that bundle and process transactions on ETH. Others were looking another Layer-1 home-like Compound’s Finance chain:
“BSC just has 10 times more gas every minute. We are exploring what is really interesting for DeFi users.”
As reported recently, In a Twitter thread that was shared a few hours ago, the founder of the popular DeFi monitoring resource said that the founders of the 1inch exchange have been permanently banned from their platform. Defi Pulse banned the exchange and Lewis detailed the reason for this including threats of physical violence against himself also as “falsely doxxing a member of our team as criminal and asserting they were going to be arrested imminently.” The founder commented said that the exchange harassed plenty of team members and also violated “requests of no contact.”
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