How to buy 1inch coins online
This page explains everything you need to know about the 1inch platform. Learn what makes it unique, why it’s been successful so far, and why you might want to get your hands on its native coin.
Compare where to buy 1inch tokens, and open an account
Use one of the trading platforms below to get started with 1inch. These brokers come recommended by our team of cryptocurrency experts and offer a range of features for beginners and more experienced users alike. If you’d like to know more before investing, scroll down to keep reading.
What is 1inch?
1inch is a decentralised exchange (DEX) aggregator: it compares the prices of cryptocurrencies across several exchanges and helps its users find the best price. Think of it as a price comparison website for crypto that can conduct intelligent procedures to achieve the best prices for its users. This could involve swapping your tokens between multiple exchanges and different currencies to achieve the best end result. The 1INCH token is the platform’s native token; it runs on Ethereum and holders of it can vote on governance decisions.
The platform also has its own liquidity protocol similar to Uniswap and SushiSwap, and this is called Mooniswap. This protocol is an automatic market maker and allows the 1inch Exchange to work efficiently without the need for a centralised regulatory body. As of November 2020, when a major update to the platform called 1inch V2 launched, swaps were split between a total of 21 different decentralised exchanges, and this number is likely to increase in the future.
The aggregator is a relatively new business, being founded by Sergej Kunz and Anton Bukov in 2019. It has grown quickly, raising a total of around $15 million in funding from major firms like Binance Labs, Galaxy Digital, and Pantera Capital. DEXs remain at an early stage in their development, but 1inch has positioned itself as a necessary tool with a first-mover advantage should they continue to grow in popularity.
How does 1inch work?
1inch works by using adaptive procedures, which are tailored to each individual transaction, to funnel the funds of users through different decentralised exchanges and currencies to achieve the best exchange rates. Think of it as a sat nav that reacts to market conditions to reroute its users so they can reach their final destination more affordably. Users have to pay network fees to access the 1inch service but don’t have to pay any withdrawal fees.
Each transaction on Ethereum requires some gas: the fee paid to Ethereum miners (like Bitcoin miners) who validate transactions. Because there can sometimes be multiple transactions when using the 1inch exchange, there needs to be a mechanism in place to reduce fees. 1inch burns CHI tokens to almost half the gas fees of transactions, and CHI can be minted on the 1inch exchange.
The native token of 1inch, the 1INCH token, is issued to liquidity providers: individuals who lend to Mooniswap and facilitate market activity. Holders of 1INCH tokens can vote on how the platform is run, and tokens can be freely traded on any exchange that supports them.
The entire service is customisable, so if users have a particular exchange they would like to avoid, they can simply toggle it off in their 1inch preferences. By compiling a much larger list of exchange options, 1inch opens up a larger order book to consumers who previously had to deal with individual exchanges.
How to buy 1inch online – a step-by-step guide
Step 1. Find an exchange
Your best option is a reliable cryptocurrency exchange. We have reviewed most of the top crypto exchanges, and two of the best places to buy 1inch are listed below:
- BitMEX: BitMEX is an increasingly popular crypto exchange that features a clear, user-friendly interface. You fund your account with Bitcoin, and then use that to swap with other coins. Join BitMex now >
- Binance: A renowned crypto exchange, Binance is a market leader and one of the most popular platforms around. If you are looking for a reliable and popular exchange with great features, Sign up for Binance today >
Step 2. Sign up and fund your account
When you’ve chosen a platform, the next stage is to set up an account. Many exchanges will require you to pass a photo identity verification check, so keep a form of ID to hand.
One your account is set up, you can fund it in a variety of ways. Some exchanges will accept deposits in a fiat currency like GBP or USD, whereas others will require you to use cryptocurrencies. If the latter is the case, often the easiest way to start is by using Bitcoin to fund your account.
Step 3. Purchase
When your account is set up and funded, you are free to exchange the funds in your account for 1inch tokens. If your account is loaded with a fiat currency like GBP, look for the 1INCH/GBP pair, whereas if your account is funded with Bitcoin, look for the 1INCH/BTC pair.
Step 4. (Optional) Get a suitable wallet
Wallets can provide an added layer of security for your tokens, but you should only seriously consider opening a crypto wallet if you plan on holding them for a long time. There are plenty of crypto wallets on the market, but not all of them support 1inch. Below are two of the best wallets:
- CoolWallet: CoolWallet is more than a conventional hardware wallet by virtue of its mobile app; use it to access your keys remotely via Bluetooth. Open a CoolWallet now >
- KeepKey: KeepKey is an increasingly popular hardware wallet solution that supports 1inch. You can store your tokens securely and conveniently. Get a KeepKey wallet today >
How to trade 1inch – a step-by-step guide
Step 1. Find a broker
If you plan on trading tokens, you need to open and close positions quickly based on short-term market fluctuations, and online brokers provide this service conveniently.
1inch is not the most mainstream cryptocurrency, so not every broker will offers its coin on their platform. In light of this, we advise you to check out two of the largest crypto brokers in eToro and Plus500 because these are the two of the most likely brokers to offer it first. For more options, check the table at the top of this page.
Step 2. Deposit money
You can fund your broker account with fiat currencies (like GBP, USD, and EUR) and then use these funds to trade crypto. However, before you execute any transaction, check that you are content with the trading fee.
Step 3. Decide how you’d like to trade
This step is integral to your 1inch trading success. Work out exactly how you want to trade 1inch and stick to a clear strategy based on technical indicators. Check out the Invezz website for detailed advice on how to form a strong technical trading methodology, including how to carry out thorough analysis to inform your trading plays.
Step 4. Start trading
Before you get going with real capital, we strong advise you to consider using a demo account to learn the ropes. Most brokers offer one as a way for beginners to get started.
When you move on to real money, steer clear of leverage until you have some experience. Leverage allows investors to gain exposure to more of an asset without having to own more outright, but it equally increases your exposure to potential downsides.
We also recommend that you think about whether you want to go long or short. If you go long, this means you expect the token to rise in value, whereas if you go short, it means the opposite. Both tactics can be profitable provided your decisions are backed up by evidence.
When you get to a stage where you are comfortable with 1inch as an investment class and you understand yourself as an investor, you should be ready to implement your strategy. One last sentence of advice: never invest with funds that you can’t afford to lose.
It’s always a good idea to take some extra time to decide whether to invest your money, particularly in cryptocurrency. To help clarify your thinking, below is a list of the pros and cons of the 1inch platform.
- No fees for users other than network fees
- Reduced transaction costs by burning CHI tokens
- Mooniswap minimises slippage: the difference between what a users expects to pay and what they end up paying
- 1inch has never been breached or hacked
- Only individuals who own crypto can access 1inch
- Lack of deposit methods
- Challenging interface and methodology for beginners
If you still remain on the fence about investing in 1inch, check out 3 important questions below along with some important considerations.
1. Is now a good time to buy 1INCH?
The answer depends on the current price and your own investment goals. If you like long-term vision of exchange aggregation that 1inch is working towards, then snapping up some tokens for the long term could be a good way to grow your money over time.
If you are after short-term gains, find a reliable broker and use technical indicators to predict the trajectory of 1inch’s price. With good analysis and a bit of luck, this can prove to be a lucrative practice without the need for substantial fundamental analysis of 1inch’s destiny as a cryptocurrency player.
Either way, you need to stay informed. The Invezz website features the latest and most important analyses of 1inch, its investment potential, and the outlook for 1INCH tokens. Click one of the links below to read some detailed analysis:
2. What problem does 1inch solve, and what are the coin’s investment prospects?
1inch makes crypto exchanges more competitive and helps find the best rates for its users. No longer do users need to trawl through each individual exchange in search of the best solution for their own financial needs; 1inch uses its own intelligence to find the best outcome for users quickly, conveniently, and reliably with minimal slippage.
If 1inch can increase the number of deposit methods it supports and refine its platform to make it more user-friendly, it could cement its position as a valuable tool within the decentralised finance (DeFi) sector. If it can achieve this, expect the price of 1inch tokens to rise proportionately.
If you want to stay up to date with the latest news concerning 1inch and its growth, check out one of the news pieces below:
Is 1inch a good buy at the moment?
3.) Do you want to hold 1INCH for the long term?
As previously mentioned, you can either use an exchange and hold onto hoping for long-term price accretion, or you can trade through a broker in the pursuit of rapid rewards. Both options can work but both require different focusses.
Considerations for a long term investment strategy
If the long-term value of 1inch is your targeted reward, look at the business fundamentals of 1inch and predict how you expect the platform to grow. Get in early by choosing an exchange, and also think about storing them in a wallet for an added layer of protection.
Considerations for a short term trading strategy
To achieve good short-term trading results, choose a broker with low fees that supports 1inch. In the meantime, familarise yourself with all the different technical indicators that can help you make good decisions.