1inch to fix cross-chain swaps with the full release of Fusion+

Cross-chain interoperability has always been the weak link for the DeFi ecosystem due to the cumbersome and risky nature of such transactions. Since blockchains do not directly interact with each other, moving assets from one network to another traditionally involves cross-chain bridges, which expose users to heightened security risks. Decentralized options, while more secure, often lack user-friendliness, discouraging broader adoption.

DeFi protocol 1inch brings an innovative approach with the full release of Fusion+ to eliminate the cross-chain bridges altogether, bringing simplicity and security to cross-chain swaps. Fusion+, now available in the 1inch decentralized application (dApp) and 1inch Wallet, integrates liquidity from across the Web3 ecosystem.

A new chapter in blockchain interoperability

The solution ensures secure, operator-free swaps between multiple blockchains using atomic swap technology, cryptographic protections, and a novel Dutch auction mechanism for optimal rates. 

Integrating liquidity from across the Web3 ecosystem, Fusion+ has the potential to establish a new standard for blockchain interoperability. Since its beta launch in September, Fusion+ has already processed millions of dollars in trading volume, demonstrating its efficiency and transformative potential.

This system, designed by 1inch, offers a number of standout features:

• Security by design: Fusion+ employs atomic swaps and integrates Maximal Extractable Value (MEV) protection, ensuring trades are fully completed or safely reverted. This eliminates common issues like partial fills or failed trades.
• Seamless user experience: Users simply select the tokens and chains they wish to swap, confirm the transaction, and keep the swap tab open until completion—no complex configurations are required.
• Optimal rates: By leveraging Dutch auctions and competitive 1inch resolvers, Fusion+ secures the best rates for users.
• Trustless transactions: Utilizing cryptographic hashlocks and timelocks, the system ensures trustless, decentralized swaps without reliance on third parties.

How Fusion+ works

Fusion+ builds on 1inch’s intent-based framework and atomic swap technology introduced in late 2022. The process involves three steps:

1. Initiating the swap: Users set their desired minimum return, initiating a Dutch auction. Resolvers bid by lowering their fees until the order is accepted.
2. Escrow and locking: Funds are deposited into escrow contracts on both the source and destination blockchains. Cryptographic secrets and timelocks secure the process.
3. Completing the swap: Once conditions are met, cryptographic secrets unlock the user’s tokens on the destination chain, finalizing the transaction. If the swap isn’t completed within the designated time, funds are returned to their original owners.

Fusion+ arrives at a critical juncture for DeFi, where growth has been virtually halted by inefficiencies and security vulnerabilities. By eliminating reliance on bridges, the technology reduces risks associated with hacks and exploits, which have plagued the sector in recent years. Additionally, the streamlined user experience promises to attract a broader audience to DeFi, from retail investors to institutional participants.

Users can immediately access Fusion+ through the 1inch dApp and Wallet without any additional setup. You only need to select the tokens and networks you wish to swap, confirm the transaction, and keep the swap tab open until it’s completed.

More information can be found on 1inch.io.

This content is sponsored and does not serve as an endorsement by Blockworks. The veracity of this content has not been verified and should not serve as financial advice. We encourage readers to conduct their own research before making financial decisions. 

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