KEY TAKEAWAYS
- 1inch DAO has decided to discontinue support for Fantom, Kaia, and Aurora networks after evaluating their long-term viability.
- The evaluation revealed limited volume and high operational costs for these networks, prompting the deprecation proposal.
- This strategic move allows 1inch to focus on more promising networks, aligning with their goal to expand in the DeFi space.
In a recent decision by the 1inch DAO, support for the Fantom, Kaia, and Aurora networks will be discontinued. This move follows a comprehensive evaluation of the blockchain networks currently supported by 1inch, assessing their long-term viability.
The evaluation, which spanned four months, aimed to determine the growth potential and traffic of these networks. The findings indicated that Fantom, Kaia, and Aurora showed limited volume and high operational costs, leading to the proposal to deprecate them. The proposal was subsequently supported by the 1inch community.
As a result, these networks will no longer be available to users in the 1inch decentralized application (dApp), 1inch Wallet, and Developer Portal. Users who have interacted with these networks via 1inch are advised to consult the Support Center article to ensure the deprecation does not negatively impact them.
1inch’s Strategy Amid DeFi Volatility
1inch has consistently aimed to provide users with access to a wide range of networks, expanding to new chains as they gain traction. However, the decentralized finance (DeFi) space is known for its volatility, and some networks do not meet expectations in terms of growth and user engagement.
The decision to discontinue support for certain networks reflects 1inch’s strategy to focus resources on more promising and popular networks. The organization is actively working on adding support for new networks that demonstrate significant potential.
For further updates and news on 1inch’s network support and developments, users are encouraged to stay informed through official channels.
Why This Matters: Impact, Industry Trends & Expert Insights
1inch DAO’s decision to discontinue support for the Fantom, Kaia, and Aurora networks reflects a strategic shift in response to the networks’ limited growth potential and high operational costs. This move is part of a broader effort to optimize resource allocation within the DeFi ecosystem.
Recent industry reports indicate that network support strategies in DeFi are evolving to focus on maximizing TVL and ensuring robust on-chain liquidity. This aligns with 1inch’s decision to deprecate networks with low volume, as the organization seeks to concentrate on more promising and liquid networks.
Recent industry research suggests that the DeFi sector has been experiencing a decline in user engagement and volume, with a significant drop in TVL earlier in the year. This supports the impact of 1inch’s decision, as it underscores the need for DeFi platforms to adapt to changing market dynamics to maintain relevance.
Explore More News:
Disclaimer: The views expressed in this article are those of the authors and do not necessarily reflect the official policy of CoinsHolder. Content, including that generated with the help of AI, is for informational purposes only and is not intended as legal, financial, or professional advice. Readers should do their research before taking any actions related to the company and carry full responsibility for their decisions.
