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1inch Network integrates P2P feature on its DApp, aims secure crypto swaps

Updated: Jul 25, 2024
Published: Mar 4, 2022
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1inch Network, a decentralized exchange aggregator, has announced that it has integrated peer-to-peer (P2P) order capability on its decentralized application (DApp).

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1inch introduces P2P functionality

Unlike over-the-counter (OTC) payments, where 1inch compares the order with a taker, P2P allows customers to identify the person or wallet who will complete the other side of the deal. 

The procedure involves the user finding a counterparty for swapping a specific amount of tokens. The counterparty provides a crypto address, which the former enters in the P2P tab of the 1inch dApp.

The company's blog post says that the feature will open "the door to a whole new world" of potential use cases, including transactions within auctions, reverse auctions, or NFT marketplaces.

Despite other services such as Binance Pay and Bybit offering P2P payments, 1inch believes that they have "stepped in to fill the gap" after receiving heavy demand for this kind of functionality.

According to 1inch, their peer-to-peer (P2P) solution provides complete decentralization along with the trustless swaps underpinned by smart contracts. Users can place orders using URLs that circumvent 1inch's backend and submit them via email or to other messengers. The company stated in the Twitter thread that participants could set the swap amount based on the current market rate or decrease and increase the rate by 5% intervals. Transaction expiry dates can be set anywhere from 10 minutes to 7 days.

What is P2P?

P2P orders are those wherein users exchange their commodities without the involvement of a platform. The platform just acts as a mediator in the said situation. These types of transactions are suitable for situations where liquidity is not high for a certain token or during presale events. An important aspect of the 1inch P2P feature is that it is built on top of the 1inch Limit Order Protocol and will be available on all the major blockchain networks, including Ethereum, BNB Chain, Polygon, Avalanche, Optimistic Ethereum, Arbitrum, and Gnosis Chain.

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