Aqua Revolutionizes DeFi Liquidity with Shared Layer
1inch has launched Aqua to the public, introducing the first shared liquidity layer for DeFi. Following its developer launch in November 2025, Aqua offers a risk-controlled alternative to DeFi's traditional pool-based model. According to Sergej Kunz, 1inch co-founder, 'The liquidity provisioning space is broken, but you only see how broken once there's an alternative.'
Aqua works as a registry, allowing users to connect their wallets and create liquidity positions that can access the same balance. The protocol tracks this balance and pulls tokens from the wallet for swap orders that meet position criteria, pushing back received tokens and fees in a single atomic transaction.
The 1inch Network Incentives program has also been launched, led by Degensoft Ltd (BVI) and delivered through Merkl. This liquidity reward program is designed to accelerate liquidity growth and swap activity across supported pairs, with the 1inch Foundation committing $10 million in provider rewards and a further $500,000 in USDC from the 1inch DAO.
Aqua has undergone eight independent security audits by OpenZeppelin, Bailsec, Hashlock, Hexens, MixBytes, Nethermind, Theori, and Decurity. With its fully self-custodial design and risk-controlled features, Aqua aims to provide a more efficient model for shared liquidity in DeFi.