Deep Dive
1. Aqua Shared Liquidity Protocol (November 2025)
Overview: This is a foundational update that changes how liquidity works in DeFi. It allows a user's funds to be used in multiple trading strategies simultaneously without ever leaving their self-custodial wallet.
Traditionally, providing liquidity means locking funds into a single smart contract for one purpose. Aqua introduces a shared accounting layer where different strategies—like an automated market maker (AMM) or a limit order book—can securely access the same pool of tokens based on custom rules. This is now available for developers to integrate via a dedicated SDK and libraries on GitHub, with a public frontend planned for Q1 2026.
What this means: This is bullish for 1INCH because it could massively improve capital efficiency for liquidity providers and attract more developers to build on the 1inch stack. Users get to earn from multiple services at once without extra risk or complexity, making the ecosystem more useful and sticky.
(1inch)
2. Pathfinder Algorithm Upgrade (June 2025)
Overview: This core technical improvement enhances the engine that finds the best swap routes across decentralized exchanges. The update optimizes for both better final exchange rates and lower network gas costs.
The Pathfinder algorithm scans all connected liquidity sources to split and route trades in the most efficient way possible. The June 10 upgrade resulted in measurable improvements, promising users swap rates that are up to 6.5% better than before, alongside gas savings.
What this means: This is bullish for 1INCH because it directly improves the core value proposition for end-users: getting the best possible deal. Better rates and lower costs make the 1inch aggregator more competitive, which can drive higher trading volume and protocol usage.
(Phemex)
3. Solana Network Integration (June 2025)
Overview: This expansion added support for the Solana blockchain within the 1inch Wallet app, allowing users to natively hold, view, and manage SOL and SPL tokens.
The integration, completed by June 30, 2025, also connected Solana's deep liquidity to 1inch's cross-chain swap feature, Fusion+. This enables trustless asset exchanges between Solana and over a dozen other EVM-based chains directly within the wallet's interface.
What this means: This is bullish for 1INCH because it significantly broadens the network's reach and utility. By tapping into Solana's large user base and fast ecosystem, 1inch can attract new users and increase cross-chain trading volume, strengthening its position as a leading multi-chain aggregator.
(CoinMarketCap)
Conclusion
1inch's development trajectory shows a clear focus on expanding its technical frontier with Aqua while relentlessly optimizing its core swap engine and expanding multi-chain reach. These updates collectively aim to capture more developer activity, user volume, and liquidity across the DeFi landscape. Will Aqua's novel architecture become the new standard for capital efficiency in DeFi?