1inch Wallet Buys $10M Worth of ETH

1inch Wallet makes headlines with $10M Ethereum purchase amidst market volatility. Wallet's digital assets currently valued at $80M.

Aug 29, 2023 - 01:04
Oct 19, 2023 - 13:01
1inch Wallet Buys $10M Worth of ETH
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The 1inch Wallet, a key player in the decentralized exchange arena, recently grabbed headlines with a substantial Ethereum purchase amidst market volatility.

The 1inch Investment Fund made a bold decision to invest nearly $10 million in Ethereum. According to blockchain analytics platform Lookonchain, a wallet linked to the 1inch Network accumulated 6,088 Ether at an average cost of $1,655 per transaction. This purchase surpassed $10 million in value.

This significant accumulation of Ether occurred just one month after 1inch's recent cashing out from its dollar-cost averaging (DCA) acquisition in the initial quarter of 2023. Blockchain data insights revealed that the wallet had previously acquired roughly 17,000 ETH across three occasions: January 13, February 9, and March 14. These trades were executed at an average price of $1,569, amounting to a total expenditure of approximately $26 million by the company.

During a swift Ether price surge to $1,906 on July 5, the 1inch wallet made a significant move by selling approximately 11,000 ETH, yielding a total of $21 million. This sale resulted in a profit of $3.7 million from Ether trades alone. It's noteworthy that the wallet's digital assets currently amount to a total value of $80 million.

Etherscan data reveals that 1inch withdrew over $40 million worth of cryptocurrencies from its investment fund. This withdrawal included 41.8 million worth of Tether's USDT, 396,000 in Uniswap's UNI token, 3,120 Ethereum, and 75,000 in USDC. Following this, 1inch swapped $10.075 million USDT and USDC to buy the 6,088 ETH.

The exact reasons behind these transactions remain a mystery. However, onchain sleuth Lookonchain highlighted an intelligent money move executed by 1inch earlier this year. According to their data, 1inch generated nearly $4 million in profits in July by selling 11,000 ETH for $21 million.

1inch's co-founder, Sergej Kunz, had previously explained that one of their significant transactions was to test a new feature on the protocol called Fusion Mode. This mode allows users to place custom swap orders without incurring gas fees. The protocol claimed that this upgrade would help users avoid sandwich attacks, which have become prevalent with MEV attacks.

Furthermore, the Token Unlocks dashboard indicates that 64,290 1Inch tokens, worth $15,000, will be unlocked by August 31. These tokens account for a mere 0.01% of the asset's total circulating supply. Amid these developments, 1inch recently expanded its operations on the Coinbase-backed Base layer-2 network, aiming to offer users a layer-2 solution with reduced transaction fees, faster speeds, and enhanced liquidity.

Philip Bohmer Philip is a seasoned journalist that brings clarity to the complex world of cryptocurrencies through his articulate and insightful articles. His passion for blockchain technology fuels his writing, making him a trusted voice in the rapidly evolving digital currency landscape.