Coinbase and 1inch Bridge CeFi-DeFi Divide with Non-Custodial Swaps

Coinbase has integrated 1inch's Swap API into its mobile application, enhancing its decentralized exchange (DEX) capabilities and enabling users to execute non-custodial token swaps directly within the platform. This marks 1inch's most significant U.S. partnership to date, positioning Coinbase as a major client in its institutional-focused "1inch Business" segment. The integration allows Coinbase's 100-million-plus user base to access liquidity from over 300 decentralized exchange sources across blockchains like Ethereum, BNB Chain, and Solana, optimizing trade execution and reducing transaction costs.

The move aligns with Coinbase's recent rollout of a self-custodial wallet feature, which enables users to interact with onchain assets without relying on custodial services. By embedding 1inch's aggregation technology, Coinbase streamlines access to decentralized trading while maintaining user control over private keys. Scott Shapiro, Coinbase's head of trading, emphasized that the partnership "brings millions of users onchain," bridging the gap between centralized and decentralized finance (DeFi) ecosystems.

For 1inch, the collaboration underscores its strategic shift from a DeFi aggregator to a broader financial infrastructure provider. The company's SaaS model, which targets traditional finance (TradFi) and centralized exchanges (CeFi), now includes Coinbase as a flagship client. Sergej Kunz, 1inch co-founder, stated that the firm's vision extends beyond DeFi to "all financial markets," positioning its non-custodial swap solutions as a standard for institutions seeking to integrate blockchain-based assets.

The partnership reflects growing demand for hybrid financial systems, where centralized platforms adopt decentralized infrastructure to enhance liquidity and user control. Analysts note that such integrations reduce friction for retail users while catering to institutional needs for security and scalability. For example, Coinbase's implementation of 1inch's Pathfinder algorithm-a tool that optimizes multi-step swaps-enables complex transactions without requiring external wallets or technical expertise.

Industry data highlights the significance of the collaboration. 1inch's market share in the DEX aggregator space reached approximately 60% in 2025, driven by its expanding institutional client base and U.S. adoption. Coinbase's integration further accelerates this trend, as the exchange's daily trading volumes in the U.S. exceed $500 million. The partnership is also expected to blur the lines between centralized and decentralized finance, with Kunz noting that "others will inevitably follow" Coinbase's lead in onchain innovation.

Source: [1] 1inch Swap API Integrated Into Coinbase App for Retail DEX (https://finance.yahoo.com/news/1inch-swap-api-integrated-coinbase-103246282.html) [2] 1inch and Coinbase team up for DeFi access (https://thecryptoradio.com/1inch-and-Coinbase-team-up-for-DeFi-access) [3] 1inch Team Announces Integration of Swap API Into Coinbase (https://incrypted.com/en/1inch-team-announces-integration-of-swap-api-into-coinbase-exchange-app/) [4] Coinbase Integrates 1inch API to Enhance Token Swaps (https://www.banklesstimes.com/articles/2025/10/02/coinbase-integrates-1inch-api-to-enhance-token-swaps/) [5] 1inch to Be Integrated With Coinbase (https://www.tradingview.com/news/coindar:4fd961213094b:0-1inch-to-be-integrated-with-coinbase/) [6] 1inch And Coinbase Partner To Provide Seamless Token Swaps (https://mpost.io/1inch-and-coinbase-partner-to-provide-seamless-token-swaps-for-retail-dex-users/)