The 1inch Network has announced the addition of Lumia, a liquidity network, to its aggregation sources, aiming to deepen on-chain liquidity and improve pricing for its users. The announcement, made on March 18, emphasizes Lumia’s capability to access centralized exchanges like Binance, OKX, and KuCoin, which is expected to provide DeFi users with competitive pricing that rivals centralized platforms.
Sergej Kunz, co-founder of 1inch, stated the network’s goal to offer users liquidity across the entire crypto market and welcomed Lumia as a significant new source of liquidity. Lumia’s integration into 1inch involves a request for quote process, where Lumia will serve as a private market maker. This collaboration is further expected to extend to 1inch Fusion, a gasless solution developed by 1inch, with Lumia acting as a resolver for filling orders.
Strategic Transition and Token Swap
Currently, the integration is fully operational on 1inch Legacy and is slated for completion on 1inch Fusion soon. The 1inch Network, which sources liquidity from over 500 entities, has facilitated over 76 million trades, accumulating a lifetime volume of more than $428 billion. It is governed by a decentralized autonomous organization (DAO), which notably became the first DAO to hire a permanent legal team through a voting process in January 2024.
Orion DAO introduced Lumia in February 2024 as a Web3 liquidity layer, positioning it as a key liquidity source for businesses and a bridge between centralized and decentralized exchanges. Following the introduction, the DAO voted to transition fully to Lumia DAO, with over 90% of members in favor. The transition includes a 1:1 swap of its native ORN token to the new LUMIA token, supported by all exchanges. This move marks a strategic step towards enhancing liquidity solutions and trading efficiency in the decentralized finance ecosystem.