1inch Unleashes Aqua Shared Liquidity Layer Across 13 EVM Chains

1inch has launched its shared liquidity layer Aqua to all users across 13 EVM chains. The launch comes eight months after the developer-only release in November of last year. Unlike traditional liquidity pools, Aqua works as a registry where providers approve token balances and create positions that draw on them. Tokens are never deposited into a contract; when a swap matches a position's terms, the protocol pulls them and returns proceeds and fees atomically.

Each swap on Aqua is executed by a 'verified counterparty', which 1inch defines as 'a market maker or arbitrage bot that has been verified'. This check is enforced on-chain at swap time. 1inch calls it the first risk-controlled liquidity venue, part of a shift toward 'risk-controlled and regulated DeFi'.

The launch comes with some caveats: the product is built for 'experienced users', and fees are not guaranteed; prices can move against a position; and providers carry market and smart contract risk. 1inch added that Aqua has been through eight independent audits, by firms including OpenZeppelin, Nethermind, Hexens and Bailsec.

As part of the launch, the 1inch Foundation has committed $10 million in 1INCH to provider rewards, with a further $500,000 USDC from the 1inch DAO distributed through Merkl.