1inch Raises $175M in Series B to Expand Institutional DeFi Services

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The decentralized exchange (DEX) aggregator 1inch Network has successfully closed a $175 million Series B funding round, marking a major milestone in its journey toward becoming a bridge between decentralized finance (DeFi) and institutional markets. Led by Amber Group, the round included participation from prominent financial and crypto firms such as Jane Street, VanEck, Alameda Research, Celsius, Nexo, and Gemini Frontier Fund.

This latest capital injection brings 1inch’s total funding to nearly **$190 million**, building on the $14.8 million raised in earlier rounds. Originally aiming to raise $70 million, the team increased the target after strong investor demand—signaling growing confidence in 1inch’s vision of expanding DeFi accessibility for professional and regulated financial entities.

The funds were raised through discounted token sales at $1.50 per 1INCH token**, below the current market price of approximately **$3.60, allowing strategic partners to participate early in support of long-term ecosystem growth.


Strategic Shift: Targeting Institutional Adoption

With this new funding, 1inch is shifting focus toward institutional-grade services, aiming to onboard banks, hedge funds, and other regulated financial institutions into the DeFi space. According to co-founder Sergej Kunz, the goal is to build compliant infrastructure that meets regulatory standards without compromising decentralization.

“We’re not just building for retail traders anymore. The next phase of DeFi is institutional participation—and we’re building the tools to make that possible,” said Kunz.

To achieve this, 1inch is actively exploring regulatory pathways in key jurisdictions, with Europe as its primary launchpad. The team is currently evaluating licensing opportunities in Germany, Gibraltar, and Liechtenstein—regions known for progressive blockchain regulations.

While specific license types have not yet been confirmed, Kunz emphasized that ongoing consultations with legal experts are shaping a compliance-first strategy. This includes developing frameworks for know-your-customer (KYC) and anti-money laundering (AML) procedures tailored for institutional use.

👉 Discover how top institutions are entering DeFi with secure, compliant tools.


Introducing 1inch Pro: A Gateway for Institutions

At the heart of this institutional push is 1inch Pro, a dedicated product currently under development and expected to launch by late 2022 or early 2023. First announced in September, 1inch Pro is designed to offer enterprise-level functionality with enhanced security and regulatory alignment.

Key features include:

By creating a controlled environment within an otherwise open DeFi protocol, 1inch aims to give institutions the confidence they need to deploy capital in decentralized markets.

This hybrid model—combining open innovation with regulated access—could become a blueprint for how other DeFi protocols scale responsibly.


Insurance Protocol: Staking 1INCH for Risk Coverage

Beyond institutional tools, 1inch is also advancing its core protocol with plans to launch a new insurance mechanism in Q1 2022. This initiative will allow users to stake 1INCH tokens to back protocol risks, effectively acting as liquidity providers for loss coverage.

In return, stakers will earn yields generated from:

This “insurance-as-a-service” model introduces a novel utility for the 1INCH token, transforming it from a governance asset into a functional component of risk mitigation within the ecosystem.

Such innovations strengthen user trust and enhance protocol resilience—critical factors for attracting both retail and institutional capital in a space where smart contract vulnerabilities remain a concern.


Why Institutional Interest in DeFi Is Growing

Institutional adoption of blockchain technology has accelerated rapidly over the past two years. From traditional banks offering crypto custody to hedge funds deploying algorithmic trading strategies on-chain, the financial world is increasingly recognizing DeFi’s potential.

Key drivers include:

However, barriers remain—particularly around compliance, security, and operational complexity. That’s where platforms like 1inch come in, acting as intermediaries that simplify access while maintaining regulatory alignment.

👉 See how leading platforms are bridging traditional finance and DeFi.


Core Keywords Driving Visibility

To ensure this content aligns with search intent and improves organic reach, the following core keywords have been naturally integrated throughout:

These terms reflect high-intent searches from investors, developers, and financial professionals seeking reliable information on scalable DeFi solutions.


Frequently Asked Questions (FAQ)

What is 1inch Network?

1inch Network is a decentralized exchange (DEX) aggregator that sources liquidity from multiple DEXs to provide users with optimal swap rates and minimal slippage. It uses advanced routing algorithms to split trades across platforms for maximum efficiency.

How will 1inch serve institutional clients?

Through its upcoming 1inch Pro platform, which will offer permissioned liquidity pools, KYC/AML-compliant access, and regulatory alignment in regions like Europe. The goal is to enable banks and hedge funds to safely participate in DeFi markets.

What is the purpose of the $175 million funding?

The funds will be used to accelerate product development—especially for institutional services—expand compliance efforts in regulated jurisdictions, and enhance protocol security and scalability.

Can retail users still use 1inch after the Pro launch?

Yes. The core 1inch platform will remain fully accessible to retail users. 1inch Pro will operate as a separate, permissioned layer targeting professional market participants.

What is the role of the 1INCH token in the new insurance protocol?

Users can stake 1INCH tokens to underwrite protocol risks. In return, they earn rewards from transaction fees and risk premiums—a new utility that strengthens token value and ecosystem stability.

Is 1inch available in the United States?

Currently, some features are restricted for U.S. IP addresses due to geofencing measures related to regulatory compliance. Full availability depends on future licensing outcomes and regional regulations.


The Road Ahead: Building Trust at Scale

As DeFi matures, scalability and trust become paramount. With its blend of technical innovation and regulatory foresight, 1inch is positioning itself at the forefront of institutional DeFi adoption.

By launching products like 1inch Pro and introducing novel staking utilities, the network is not only expanding its user base but also redefining what a decentralized protocol can achieve in a regulated world.

The $175 million raise isn't just about capital—it's about credibility. Backing from firms like Jane Street and VanEck signals that even traditional finance players see value in well-structured DeFi infrastructure.

👉 Explore how next-gen DeFi platforms are shaping the future of finance.

As 1inch moves forward with licensing talks and product rollouts, all eyes will be on how effectively it balances decentralization with compliance—a challenge that could define the next era of blockchain finance.