1inch Foundation Allocates 10 Million Tokens To The Delegation Incentive Program

Dalmas Ngetich

2 years ago

3 mins read

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1inch Network, a DEX aggregating platform, has allocated 10 million INCH tokens to its Delegation Incentive Program, a press release on January 24 shows. The goal is to incentivize more 1INCH stakers to delegate their Unicorn Power to resolvers.

Incentivize 1inch Stakers’ Delegation To Resolvers

1inch Network wants to increase the number of resolvers within its platform. Accordingly, it launched the 1inch Resolver Incentive Program in December 2022. The program’s goal was to compensate resolvers for the cost of gas they pay when they fill in user orders.

As part of this arrangement, the aggregator encourages its users to stake 1INCH, their native governance token. Any user who stakes the governance token receives Unicorn Power in place of delegation rewards.

Unicorn Power can either be delegated to resolvers or be used when voting on crucial network decisions. The aggregator has stated that the number of Unicorn Power received directly depends on the lockup period. Stakers who lock their assets for longer will receive more Unicorn Power.

Following this announcement, 1inch Network will now distribute 250,000 1INCH to resolvers weekly. The program will run until all 10 million 1INCH are distributed. Funds from the foundation will, in turn, be used to reward 1INCH stakers who choose to delegate their Unicorn Power. However, the 1inch Foundation has stated that the number of 1INCH received will vary between resolvers depending on their network share.

Program Follows Launch Of Fusion

In late December 2022, 1inch Network launched the Fusion Mode. With Fusion, users can swap transactions without paying network fees.

Depending on the underlying platform, network fees can vary from near-zero, cents, to double digits, in USD terms, in some blockchains, mainly Ethereum. Gas fees tend to spike when the Ethereum network is congested. Subsequently, this can increase the cost of swapping transactions in top decentralized exchanges like Uniswap, a platform whose price feeds are aggregated by the 1inch Network.

In Fusion Mode, resolvers play a critical role in enabling users to swap without paying transaction fees. In this setup, resolvers fill pending orders. These resolvers are professional market makers who will pay underlying gas fees on behalf of the user. As a result of their participation, they profit from arbitrage trading.

The launch of Fusion was described as a huge step forward for the entire DeFi space by Sergej Kunz, the co-founder of 1Inch Network. He added that swapping on the platform using Fusion will be much more cost-efficient and safer.

“This is a huge step forward for the entire DeFi space. Fusion makes swaps on 1inch dramatically more cost-efficient, as users won’t have to pay network fees, plus, an extra layer of security is added, protecting users from sandwich attacks.”

1INCH is trading at $0.514 as of writing on January 25.

1INCH Prices on January 25| Source: 1INCHUSDT on TradingView

Feature image from Canva, Chart from TradingView

Dalmas Ngetich

Dalmas, a seasoned crypto reporter, brings a unique perspective to the industry. His specialization in NFTs, blockchain, DeFi, and blockchain news for NewsBTC, combined with a background in mechanical engineering and over a decade of experience in journalism, has allowed him to craft over 10,000 news and feature articles over the past eight years. His diverse range of topics, including technology, Forex, and finance, reflects his comprehensive understanding of the crypto landscape.

His technical expertise and analytical skills have been recognized and featured by leading news outlets such as Investing.com, CoinTelegraph, Entrepreneur, Forbes, and other authority sites. Notably, he broke key news, including the Ripple and MoneyGram partnership, cementing his position as a thought leader in crypto.
The news exploded. Over 100,000 people devoured this meticulously crafted report, from seasoned investors to curious newcomers. His analysis wasn't just dry facts and figures; it crackled with insight, dissecting the implications of the partnership and its potential impact on the future of finance.

His deep understanding of the financial markets, technological advancements, and blockchain developments has made him a respected voice in the industry.

Dalmas is also the founder of BTC-Pulse, a crypto news site, further demonstrating his commitment to the field. He firmly believes that DeFi and NFTs are here to stay and will continue to drive financial inclusion.

Coming from Nairobi, Kenya, it is easy to see the source of his inspiration: Across Africa, millions lack access to traditional banks. Remote villages, limited documentation, and high minimum balances create insurmountable barriers.

DeFi, not just Maker or Aave, for example, but think of Bitcoin and USDT, cuts out the middleman. Forget banks with their limitations.
Even so, DeFi isn't a magic solution. The continent still struggles with reliable internet access, and educational campaigns highlighting the benefits of this wonderful solution are insufficient. Moreover, even for those interested, understanding DeFi can look like learning a new language.

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The story of DeFi in Africa is still being written. Challenges abound, but the promise of a more inclusive financial future is a powerful motivator. With innovation and collaboration, Dalmas firmly believes that DeFi could become the key to unlocking Africa's full economic potential.
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Beyond his professional achievements, Dalmas is deeply passionate about technology and politics. Policies drive adoption, and being at the forefront and keeping up with how they evolve is crucial for the sphere to mature.

When Dalmas is not closely monitoring the latest crypto events, he can be found in nature, exploring the picturesque countryside, and traveling with his family and friends. His love for adventure and discovery perfectly complements his investigative and reporting skills.
You can connect with Dalmas on X: @Dalmas_Ngetich, or contact him on Telegram @Dalmas_Ngetich.

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