Liquidity aggregation combines liquidity from multiple sources to give users access to the best rates and minimal slippage during token swaps – all within a single place. By tapping into liquidity across the entire market, 1inch simplifies the swapping process, saving users time and effort. This efficient, decentralized approach enhances the swapping experience in a self-custodial environment.

DEX aggregation is crucial because it enables users to access competitive prices and optimal liquidity across multiple decentralized exchanges through a single interface. Since different DEXes may offer varying prices for the same asset, DEX aggregation eliminates the need for manual comparison, ensuring users get the best possible rates. Additionally, swaps can be split across different protocols and market depths, optimizing both swap prices and gas usage. With 1inch, users enjoy a seamless experience that consistently delivers top-tier rates and efficiency.

PancakeSwap is a DEX that originated on the BNB Chain and has later expanded to support multiple blockchain networks. It operates as an automated market maker (AMM), facilitating swaps through user-funded liquidity pools. PancakeSwap also offers features like staking in Syrup Pools, initial farm offerings (IFOs) for new project tokens, a lottery system and an NFT marketplace. The CAKE token is integral to the platform, enabling governance participation, staking and transaction fee discounts. Recent developments include expanding to additional chains and introducing advanced farming mechanisms to enhance user returns.