Learn Aqua

Your complete guide to providing shared liquidity with 1inch

Frequently asked questions

1inch Aqua is the shared liquidity layer for self-custodial liquidity provision. One wallet balance backs every position. Your tokens stay in your wallet until a swap fills. It is fully self-custodial: you never deposit, and you can revoke access at any time. Aqua runs on the SwapVM engine across 13 chains.

In an RFQ system, a firm prices swaps off-chain from its own inventory: you get one quote at a time, the quoting logic is hard to inspect and supplying that inventory usually means delegating custody. On Aqua, positions are on-chain programs: pricing is public and verifiable, tokens stay in your wallet and one balance can back many positions at the same time. 1inch routing treats both as liquidity sources and fills each swap at the best price it finds.

No. Aqua is self-custodial and never holds your tokens; they stay in your wallet until a swap fills. Nothing is deposited. You grant a revocable allowance so positions can quote against your wallet, and you can revoke it at any time.

The allowance is a permission you grant, with an upper limit. It is not the amount that moves, and not a guarantee that tokens are there. A swap can only move tokens that are actually in your wallet: when it executes, tokens transfer straight from your wallet, and if your balance is too low at that moment the swap simply reverts. Your real wallet balance is the binding limit; the allowance only sets the cap for what can be moved. You can revoke the allowance at any time to stop new swaps from filling.

No. Shared liquidity is not leverage. Your tokens are not borrowed and you take on no debt. The same tokens are simply made available to many positions, and a swap can only pull what is actually in your wallet. The Shared Liquidity Ratio measures availability, not exposure.

No. Swaps are not guaranteed, so swap fees are not guaranteed. Providing liquidity takes knowledge and experience.

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