CoinDesk
Decentralized exchange aggregator 1inch opened Aqua, its shared liquidity protocol, to users across 13 EVM-compatible chains. Aqua lets liquidity providers deploy a single wallet balance across multiple positions at once, with tokens remaining in the provider's wallet until a matching swap executes. A $100,000 balance, for example, could support three positions quoting a combined $300,000 in depth, according to 1inch.
The rollout comes with a roughly $1.37 million incentive program distributed via Merkl: the 1inch Foundation committed 10 million 1INCH tokens, worth about $870,000 at current prices, and the 1inch DAO added $500,000 in USDC, paid out over three months. 1inch co-founder Sergej Kunz said the protocol lets tokens "stay in your wallet, under your control, while one balance backs multiple positions across different strategies rather than being split between smart contract deposits." Supported chains include Ethereum, Base, BNB Chain, Arbitrum and Robinhood Chain, among others.
Why it matters
1inch first unveiled Aqua last year alongside its SDK, libraries and documentation. The public interface lets users create full-range, concentrated or pegged positions, but the real pitch is capital efficiency at the wallet layer rather than the pool layer. Liquidity providers still face price movements, impermanent loss and smart-contract risk, and 1inch said Aqua underwent eight independent security audits before going live.
Market impact
The launch lands on top of research commissioned by 1inch finding that $1.84 billion tracked across major concentrated-liquidity exchanges in the first half of 2026 was largely underutilized. Roughly $542 million sat fully outside active trading ranges in an average week, missing an estimated $150 million in annual fees. Aqua is positioned to capture some of that idle depth without requiring LPs to fragment balances across separate pool deployments.
Frequently asked questions
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What is 1inch's Aqua liquidity protocol?
Aqua is 1inch's shared-liquidity protocol that lets providers back multiple positions across DEXs from a single wallet balance, with tokens staying in the provider's wallet until a matching swap executes.
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Which chains does Aqua support at launch?
Aqua is live across 13 EVM-compatible chains including Ethereum, Base, BNB Chain, Arbitrum and Robinhood Chain, with the rest of the supported set listed in 1inch's public interface.
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How does Aqua's $1.37M incentive program work?
The 1inch Foundation committed 10 million 1INCH tokens (~$870,000 at current prices) and the 1inch DAO added $500,000 in USDC, distributed through Merkl over a three-month window.
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What does Aqua mean for liquidity providers on concentrated-liquidity DEXs?
Aqua targets the capital-efficiency gap. 1inch-commissioned research found roughly $542M sat outside active ranges on major concentrated-liquidity DEXs each week in H1 2026, missing an estimated $150M in annual fees.
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What risks do Aqua liquidity providers still face?
Tokens stay in the provider's wallet rather than a pool, but LPs remain exposed to price movements, impermanent loss and smart-contract risk. 1inch said Aqua underwent eight independent security audits before launch.
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