1inch integrates Lumia for enhanced liquidity and pricing

1inch, a multichain liquidity aggregator, has recently integrated with the liquidity network Lumia, expanding its sources of liquidity. The integration aims to enhance on-chain liquidity and provide better pricing for 1inch users. What sets Lumia apart is its access to major centralized exchanges like Binance, OKX, and KuCoin. By tapping into these centralized platforms, Lumia’s liquidity can rival or even exceed that of decentralized finance (DeFi) platforms.

Sergej Kunz, the co-founder of 1inch, expressed the company’s goal of offering users liquidity across the entire crypto market, making Lumia a significant addition to their liquidity sources. The integration between 1inch and Lumia has been implemented through a request for quote (RFQ) process. Lumia operates as a Private Market Maker (PMM), where customers can request quotes from the platform to purchase tokens.

The next step in the integration involves expanding Lumia’s role to include 1inch Fusion, a gasless solution developed by 1inch. In this capacity, Lumia will act as a Resolver, an approved address responsible for filling 1inch Network Fusion orders. The integration is currently operational on 1inch Legacy and will soon be completed for 1inch Fusion.

1inch is known for procuring liquidity from 500 different sources and has facilitated over 76 million trades with a lifetime volume exceeding $428 billion. The network is governed by a decentralized autonomous organization (DAO). In an unprecedented move, 1inch became the first DAO to hire a permanent legal team through a voting process in January 2024.

Orion DAO introduced Lumia, its Web3 liquidity layer, in February 2024. It positioned Lumia as a reliable liquidity source and a bridge between the vast liquidity of top centralized exchanges and the innovation of decentralized exchanges. The company also hired U-Chyung Lim, a former Binance executive, as their Chief Business Development Officer in March 2024.

Kal Ali, the co-founder of Orion Protocol, stated that the Orion DAO and its tokens will fully transition to Lumia. This decision was made through a DAO vote, where 90% of members voted in favor of the move. The transition will involve swapping the ORN token for the new infrastructure token, LUMIA, in a 1:1 swap supported by all exchanges. The move to Lumia DAO is expected to create a more interactive environment with the community.

The integration of Lumia with 1inch is set to enhance liquidity and pricing for 1inch users. With Lumia’s access to centralized exchanges, users can expect competitive pricing that matches or surpasses that of centralized platforms. The integration is currently operational on 1inch Legacy and will soon be expanded to 1inch Fusion.