The Magic of Aggregation - Andra Nicolau (1inch Network) - TOKEN2049 London

hi everyone thank you so much for coming um obviously i'm from one inch i am the growth lead for protocol super excited to be here and today i actually wanted to do something a little bit different because talking about one inch can get very technical very quickly and half of you are already a sleeper on your phone so i'm trying to kind of keep that from not happening moving forward that being said how many of you have actually used one of these please put your hands up okay thought so all right and if somehow you've never used one of these super efficient tools that makes your life easier then how many of you have used one of these okay yeah of course everyone in the room now i know that you have been using them and i've actually been trying to see what are you all looking for on these super amazing platforms and um this is what i found this is what you all are curious about statistically speaking right and i almost let it slide right i i saw that very first thing and i was like wow people are really curious about why dogs eat grass and you know i didn't make much of it i was like everyone has their own curiosities but then i really started asking myself why do dogs eat grass and if i'm losing you at any point please give me some time because i will eventually get to one inch and how this all ties together so imagine that is 1970 and there's no magical internet there's no software there is no way to find information within three seconds on your phone and you're watching television and you see a dog eating grass and you're just like you put it away you don't pay attention to it you try to go to sleep and you're just sitting there in your bed thinking why was that dog eating rest like i really need to know and you get out of bed you try to meditate you do your yoga you do your breathing exercises you go back inside and you try to sleep it's not working you still need to know why dogs eat grass so next morning you wake up what do you do you go to your friend susan who has three dogs and you're like susan why do your dogs eat grass and susan's like well i don't know because they're stressed they're anxious they have digestive issues whatever and you're like you know what you're not convinced you go to your veterinarian friend and you're like hey why do dogs eat grass he gives you this medical explanation that makes absolutely no sense you're like ah i don't really understand i'm gonna do my own research you go to a library you search all the shelves for books you're reading all the paragraphs the references you're spending two weeks just to find out an answer to a very simple question right you've already wasted two weeks of your life just to get there now the year is 2021. same situation you're in bed you're watching television you see a dog eating grass what do you do you reach for the phone under the other pillow you type it in why do dogs eat grass three seconds later you have your answer why because of the magic of aggregators right there it's endless lines of code and powerful algorithms that put all of this information at your fingertips so you can find out what you want right away and again it's the same whether you're traveling and you need to find out which hotel i should say in in this other part of the world whether you're trying to find the perfect flight from one corner of the planet to another or if you just want to find out something simple like i just explained why dogs eat grass right the moral of the story is that there is information overload out there there is just so much to navigate our brains are not equipped to do it and this leads to choice overload it's like we have difficulty making choices because of that it's like which platform do i use which airline should i fly with which hotel should i choose aggregators have the power of making this decision making process a lot easier on us right our brains are much more relaxed knowing that we can filter through all these choices and end up with the perfect one for us whatever that may be and if you don't know how big this is 4.4 million businesses were created in the us alone in 2020. each of these businesses is creating a new product a new service or a new piece of information to feed to you in order to get you to buy it right and you have to navigate all of that now here comes again the power of aggregation where you find whatever suits you the best and right it's not a same fit for everyone everyone has different ones and needs here we go what does this have to do with crypto you are all here to probably find out when moon at least that's what i'm asked every single day right it's like which token is going to pump which ones should i buy which wallet which exchange every single time and i'm sure that many of you also have the same question now there are 100 million users in crypto space and i know this because i actually googled and i found out the answer within three seconds i didn't have to do too much research like i already said um but each of these users have different pain points right some of them they're level one they're newbies they have just entered the space and they're wondering which wallet should i use or which exchange should i buy on where do i trade which tokens right it's very basic level questions that they're trying to answer and they want to navigate the space now these are the ones that need the most help because they simply don't know where to start and most of the wallets that are winning right now are the ones that have the best marketing coinbase anyone right binance as well is the exchange where everyone kind of tends to enter the space through and then you've been around for like six months you've owned a couple cryptocurrencies now you're starting to trade you're like understanding how it all works and you want better tools what is the better wallet what is the better exchange you're starting to understand about the difference between centralized exchanges and custodial wallets and non-centralized exchanges and uh sorry decentralized exchanges and non-custodial wallets right so you have a different set of questions that you're trying to find answers to and then comes the expert level this is the d5 degens right it's the ones that would never use any sort of centralized exchange you have no idea what their name actually is their picture is an nft that looks like a board monkey and um you're really these ones are the ones that have an entirely new like a set of problems that do not apply to the ones that are level one try to get my mom to trade on a decentralized exchange you'll have absolutely no idea how to even set up now again we're dealing with the same problem that applies to the traditional world as we know it outside of crypto choice overload which wallet do i use and most importantly where do i go to swap one token for another and here comes one inch and the problem that we're solving right we're really trying to make it as easy and optimized as possible for users to find the best market rates for their trades right and how does it actually work like a lot of people i talk to people all the time it's my favorite thing to do to understand how they see one engine how they use it but none of them actually understand how it works unless they're very technical or they work in a traditional finance space and this is an example of how our aggregation protocol works so you want to make a trade from ethereum to graph token for example i chose this because it had a very complex path and i liked it a lot so it's really the same magic as with google right like you have a question and you're trying to find out the answer to it that's the destination right there and this is the algorithm at work doing its thing scanning all the different sources the liquidity sources in our case to find the best path to your answer so in this case we have a simple trade like i said from ethereum and here it shows you all the different liquidity sources by the way we have 132 of them integrated in our protocol and how it's all split across this different path sometimes it's a single pot a single hop other times it's a double hop as you see here sometimes it's even way more complex than this the end result is that within seconds you're able to find the absolute best market rate for your crypto swaps without having to go to 20 individual dexes to try to scan them each and see which one gives you the best trade it's as simple as that right so that being said what is next because now we have aggregators and it's not just one inch but there's multiple aggregators out there so what is the next step above that how do i choose an aggregator among them all we have the aggregator of aggregators and how many of you actually use metamask okay right so every time you swap you get to see all the different apis that have integrated right from one inch to unit swap to power swap and they actually scan to see which one offers the best market rate one inch wins the trade most of the time but uh the idea is that there should not be just one solution for everyone but you should offer users multiple liquidity sources to choose from so that we as aggregators battle each other to always win the trade it shouldn't be metamask's job to filter those trades on their own right so the battle should be among us not among the user interface or the the user interfacing wallets now what is the end game and this is a question that i think about a lot we are building at one inch again the aggregator which will probably be just a plug-in in the bigger picture right and let's think about what will the world look like um maybe 30 years from now right we'll have like kids and grandkids and they'll just wake up one morning they fire up their laptop it's already like a super secure hardware wallet it's already mining whatever tokens in the back end this is just the default this is the reality they know they get a notification that says your mortgage in the metaverse is due in two days would you like to make a payment and you click yes i would like to make a payment and then it's like what token would you like to pay in bitcoin ethereum die usdc usdt you're like die you don't have insufficient funds in your wallet you quickly want to swap here comes one inch as an aggregator you don't even know that it's one inch powering it right you just create the swap you pay your mortgage in a metaverse and you continue just roaming around the internet admiring your nft gallery right so this is kind of the future that we'll have not too far from now the moral of the story is that we're real building today right now individually the wallets the browsers the aggregators the liquidity pools etc will be just these tiny super small pieces that we'll take for granted in the same way that we are now taking for granted all the hard work that google amazon all the other platforms that i mentioned have put into this 20 30 years ago that's my talk everyone thank you [Applause] great presentation and of course we'll open up the floor to any questions uh anybody may have for one inch uh gentlemen there at the top let me uh let me work my way to you sorry i'm gonna ruin your shot you've been there all day what took you so long hi so um when one inch does the multi-route through all the different exchanges and sometimes jumps through tokens are you subsidizing the gas fees for all those swaps because i mean surely to perform those transactions you're going to have to pay gas and i know when i use one inch it's always sort of like the fixed guy rate um but i don't know i guess just one swap how does it work in that regard so we're now subsidizing gas fees for all users especially if you're taking one inch you can actually go to 90 of your gas fees being covered right and um the pathfinder algorithm is optimized so that no matter how many hops or how complex the route is like the one i just showed you always guess the best the best gas fees regardless of like i said how complex the path is so we always optimize including gas in our calculations like the algorithm keeps track of that that answer your question great do we have any more questions from the audience surely we must have some one-inch users here all right enjoy anything else you want to add to it how can we find out more about you and we can stay in contact with one inch also one inch dot io my name is andra just come grab my contact afterward if you want to keep in touch