1inch Network launches an incentive program for Aqua via Merkl

Discover 1inch Aqua by participating in a 10 mln 1INCH incentive program - with 5 mln 1INCH in direct volume rewards, 5 mln 1INCH in partner co-incentives - and an additional 500k USDC boost from the 1inch DAO.

How does shared liquidity work? What advantages does 1inch Aqua offer to liquidity providers compared with regular options? Find out for yourself and earn your share of 5 mln 1INCH direct volume rewards, 5 mln 1INCH in partner incentives and a 500k USDC boost from the 1inch DAO, with all rewards handled by Merkl. 

Aqua lets you back multiple positions with the same token balance, keep your assets in your wallet until a swap fills and access more markets without splitting your liquidity across pools. 1inch Network has launched this incentive to support DeFi liquidity providers to learn how this new methodology works and to encourage more efficient liquidity provision across the industry.

How to participate

There is no sign-up, whitelist or registration. If your liquidity fills swaps in an eligible market during the campaign, you are in the program automatically.

1. Open Aqua. Go to 1inch.com/aqua and connect your wallet on the relevant network (Ethereum, Robinhood Chain or BNB Chain). New to Aqua? The guide at 1inch.com/aqua/learn walks you through it.
2. Pick an eligible market. All 80+ incentivized markets pair 1INCH with another token (the full list of markets is below and on Merkl's app). Make sure you hold the tokens you want to quote - they stay in your wallet the whole time.
3. Create a position. Choose the market, set your parameters and authorize an allowance. No tokens are deposited or locked: Aqua reads your wallet balance, and tokens only move when a swap fills. The same wallet balance can back positions in several incentivized markets at the same time. You don't need to split your funds per market.
4. Let it fill. Once your position is live, 1inch swap flow can execute against it. Every fill earns you swap fees from the trade itself, plus a share of the campaign rewards based on the volume your positions handle.
5. Track and claim. Your accrued rewards appear on Merkl, under the 1inch campaign, and on 1inch incentives page. You can claim from either page - both routes execute through Merkl’s smart contract. Claim your rewards whenever you like. Claiming is independent from your Aqua positions, and closing a position never affects rewards you already earned. You can also follow your standing on the Aqua leaderboard. Rankings reflect processed volume to date, not future rewards. Claiming through the 1inch interface is subject to the 1inch.com Terms of Use and may be unavailable in certain regions; claiming directly on Merkl remains available under Merkl’s applicable terms.

You can create, adjust or close positions at any point during a three-month period from the campaign start as shown on Merkl. Rewards are calculated continuously, so joining mid-campaign can also work: rewards accrue on  the volume you handle from that moment on. The distribution of rewards is: 50% in the first month, 30% in the second month and 20% in the third month.

Fills, fees and rewards are not guaranteed. Whether your position fills depends on your choice of pricing, market activity and competition from other makers.

To participate in the incentive program and earn rewards, provide liquidity to one of 80+ markets, each pairing 1INCH with one of the tokens listed below. The markets are divided into groups, with each group assigned its share of total rewards. These are the market groups:

ETH / LSTs - Ethereum (35% of total rewards - 1.75 mln 1INCH + 175k USDC)

WETH, aEthWETH, stETH, wstETH, aEthwstETH, weETH, aEthweETH, osETH, aEthosETH, rETH, aEthrETH, cbETH, aEthcbETH, ETHx, aEthETHx, ezETH, aEthezETH, rsETH, tETH, aEthtETH.

Stablecoins - Ethereum (30% of total rewards - 1.5 mln 1INCH + 150k USDC)

USDT, aEthUSDT, USDC, aEthUSDC, GHO, USDS, aEthUSDS, DAI, aEthDAI, USDe, aEthUSDe, PYUSD, aEthPYUSD, USDG, aEthUSDG, crvUSD, aEthcrvUSD, RLUSD, aEthRLUSD, sUSDe, aEthsUSDe, USDtb, aEthUSDtb, sDAI, aEthsDAI.

BTC wrappers - Ethereum (15% of total rewards - 0.75 mln 1INCH + 75k USDC)

WBTC, aEthWBTC, cbBTC, aEthcbBTC, tBTC, aEthtBTC, LBTC, aEthLBTC, BTC.b, aEthBTCb, eBTC, aEtheBTC, FBTC, aEthFBTC, kBTC.

DeFi majors - Ethereum (14% of total rewards - 0.7 mln 1INCH + 70k USDC)

UNI, aEthUNI, AAVE, aEthAAVE, LINK, aEthLINK, LDO, aEthLDO, ONDO, WLD, ENA, DEXE, WLFI, SKY.

DeFi majors - Robinhood Chain (1% of total rewards - 50k 1INCH + 5k USDC)

VIRTUAL.

RWAs - Ethereum (2% of total rewards - 100k 1INCH + 10k USDC)

PAXG, XAUt, aEthXAUt, NVDAon, TSLAon, AAPLon, SPYon, METAon, AMZNon, CRCLon, GOOGLon, QQQon, NVDAx, TSLAx, AAPLx, SPYx, METAx, AMZNx, syrupUSDC, syrupUSDT, aEthsyrupUSDT, USDY.

RWAs - Robinhood Chain (2% of total rewards - 100k 1INCH + 10k USDC)

NVDA, TSLA, AAPL, SPY, META, AMZN.

RWAs - BNB Chain (1% of total rewards - 50k 1INCH + 5k USDC)

Ondo - NVDAon, TSLAon, SPYon, QQQon, GOOGLon, CRCLon; xStocks - NVDAx, TSLAx, AAPLx, SPYx; bStocks - NVDAB, TSLAB, CRCLB, MSTRB, MSFTB, QQQB.

Rewards are paid pro-rata to the volume a maker's positions actually handle, not parked liquidity.

How rewards are calculated and distributed

The program rewards the swap volume that your liquidity actually processes, not the size of your positions.

1. Fills are tracked onchain. When any swap flow is executed against your position by a verified resolver (the taker side of the fill), the fill is recorded by the Aqua contracts. Every fill maps to an exact maker and market, so attribution is verifiable onchain.
2. Rewards are split pro-rata within each market group. Each of the eight groups listed above has its own monthly reward budget. At each calculation cycle, that budget is divided among makers in proportion to the USD volume their positions filled. Example: if your positions handled 2% of a group's filled volume, you receive 2% of that group's rewards for that period.
3. Merkl handles distribution. Merkl recalculates allocations roughly every 8 hours and posts updated claimable amounts onchain - that onchain update is what turns an accrued reward into a claimable one. You can claim your rewards at any time at app.merkl.xyz or on 1inch.

What earns and what doesn't

• Liquidity that fills swaps earns. A position that never fills earns nothing, regardless of its size.
• All Aqua strategy types on an eligible market qualify. A fill is a fill.
• Fair-play rules apply: fills from a maker's own wallets or any detected wash trading activity will be excluded from reward calculations.

Partner co-incentives

Alongside the 5 mln 1INCH in volume rewards, a further 5 mln 1INCH is allocated to partner co-incentives: joint campaigns run by 1inch together with ecosystem partners, where partners add their own rewards on top of the 1INCH allocation. These campaigns run on the same Merkl rails as the volume program, rewards are distributed through Merkl and claimable both on Merkl and at 1inch.com - with campaigns announced separately as they go live. Partner-contributed reward assets are provided by partners under their own terms: the assets themselves, their amounts and their regional availability are set by each partner and may differ from the main campaign.

1inch Aqua enables you to use the same wallet balance for backing multiple positions at the same time, your tokens stay in your wallet until a swap fills, and positions are protected from JIT fee sniping by design. Now it’s time to experience all these benefits. To learn more about Aqua, check out this blog.

Provide liquidity, learn about 1inch Aqua and earn rewards. Start at 1inch.com/aqua.

Disclaimer: These campaigns are distributed through Merkl (Angle Labs). The 1INCH reward stream is funded by the 1inch Foundation; the USDC boost is funded by the 1inch DAO; partner co-incentive campaigns are funded by the respective partners. Rewards are not an investment opportunity, and no reward, rate or return is guaranteed. Campaign parameters may change, and any campaign may be modified, suspended or discontinued at any time. Participation is subject to security, integrity and compliance screening, and any wallet or participant may be excluded from the campaign or from rewards on that basis at any time. Rewards that remain unclaimed after the end of the campaign may be reallocated or recovered. Participation is subject to the eligibility and fair-play rules described in this post. Your use of 1inch Aqua and other 1inch products is governed by the 1inch.com Terms of Use, which also apply to campaign participation to the extent relevant. Reward distribution and claiming are operated by Merkl, including when claiming is initiated from the 1inch interface, and subject to Merkl's applicable terms and policies. Rewards may be paid in 1INCH, USDC or third-party assets; their availability, transferability and market value may fluctuate, are not guaranteed, and are outside the program’s control. Partner-contributed rewards are provided by the respective partners under their own terms; 1inch is not the issuer of partner-provided assets and is not responsible for their value, transferability or availability. You are solely responsible for any taxes arising in connection with rewards. Any rates, estimates or rankings shown on program interfaces, including the incentives page and the leaderboard, are informational only and not a promise of returns. Claiming through the 1inch interface may be unavailable in certain regions. Nothing in this post constitutes financial, investment, legal or tax advice, or a recommendation or inducement to buy, sell or hold any digital asset. Not available where prohibited by applicable law.