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.

Uniswap is one of the largest decentralized exchanges on the Ethereum blockchain, allowing users to trade ERC-20 tokens without intermediaries. It uses an automated market maker (AMM) model, which enables efficient trading and liquidity provision. Users can also participate in platform governance through the UNI token. Uniswap introduced Uniswap V3, which offers advanced features like concentrated liquidity, making trading and liquidity provision even more efficient and flexible.

Uniswap and SushiSwap are both DEXes using an AMM model, allowing users to trade tokens without intermediaries. Uniswap, launched in 2018, is known for pioneering the AMM model and remains one of the largest DEXes. SushiSwap, a fork of Uniswap created in 2020, introduced unique features like yield farming and staking to attract users and provide additional financial opportunities.