1inch is planning to airdrop 10 million 1INCH tokens to decentralized finance (DeFi) users as part of a gas cost refund program.
The firm is a "decentralized exchange (DEX) aggregator," which means it splits its users' crypto deposits among different exchanges in an effort to try to get the best rates.
1inch said any users staking through its app will be refunded the gas amount spent in 1INCH tokens on the first day of each month. The first refunds will begin at the end of July and go through August with staking taking place on Sept. 1.
High gas prices are a part of the Ethereum network and an issue that 1inch Network’s governance forum is looking to solve. The refund program was suggested by 1inch community members.
According to the group, 1inch users will need to stake 1INCH for the whole period between the first swap to be considered for the program.
Those users staking 100 1INCH tokens will receive a gas refund of 25%, 1,000 1INCH will give users a 50% gas refund, 10,000 1INCH users will receive 75% gas refund, and users staking 100,000 1INCH can expect to receive a 100% gas refund.
Last year, 1inch closed a $12 million funding round that was led by Pantera Capital. Other backers included ParaFi Capital, Nima Capital, LAUNCHub Ventures, Spark Capital, gumi Cryptos, Blockchain Capital and angel investors Josh Hannah, Kain Warwick and Alexander Pack. The firm said it was using the funds to build new products.
1inch was started by co-founder Sergej Kunz, who was previously a software engineer at the car maker Porsche, and Anton Bukov, a former smart-contract developer at NEAR Protocol.