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Copy file name to clipboardExpand all lines: docs/limit-order-protocol/introduction.mdx
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# Introduction
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1inch limit order protocol is a set of smart contracts, that can work on any EVM based blockchains
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(Ethereum, Binance Smart Chain, Polygon, Arbitrum, Optimism, Gnosis chain, Avalanche). Key features of the protocol is **extreme flexibility** and high **gas efficiency** that achieved by using two different order types - regular _Limit Order_ and _RFQ Order_.
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1inch limit order protocol is a set of smart contracts that work on any [supported EVM based blockchains](https://help.1inch.io/en/articles/5528619-how-to-use-different-networks-on-1inch).
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Smart Contract allows users to place limit orders and RFQ Orders, that later could be filled on-chain.
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Both type of orders is a data structure created off-chain and signed according to [EIP-712](https://eips.ethereum.org/EIPS/eip-712).
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Key features of the protocol are **extreme flexibility** and high **gas efficiency** which are achieved by using two different order types - regular _Limit Order_ and _RFQ Order_.
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Smart Contracts allow users to place limit orders and RFQ Orders, that later could be filled on-chain.
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Both types of orders are data structures created off-chain and signed according to [EIP-712](https://eips.ethereum.org/EIPS/eip-712).
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## I. Limit order
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A limit order is a financial instrument with which you can put up an ERC-20 token for sale at a fixed price.
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For example, you can put up 2 WBTC tokens for sale at the price of 82415 DAI tokens.
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1inch limit orders protocol has many tools for flexible trade management:
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The 1inch limit order protocol has many tools for flexible trade management:
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- Partial fill
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- Predicates
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- Fullness check
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- Validation
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> **Note:** For marketmaking, there are [**RFQ orders**](#ii-rfq-order) that have special optimization that does not require a large amount of gas for execution.
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> **Note:** For market-making, there are [**RFQ orders**](#ii-rfq-order) that have special optimization which does not require a large amount of gas for execution.
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### Limit order execution
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1. 1inch users can place their limit orders throught the 1inch [dApp](https://app.1inch.io/#/1/limit-order/WETH/DAI).
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1. 1inch users can place their limit orders through the 1inch [dApp](https://app.1inch.io/#/1/limit-order/WETH/DAI).
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2. The signed orders placed by the users can be fetched by anyone using the [1inch Limit Orders Liquidity Source API](./api.mdx)
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to execute trades by filling the order on-chain.
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3. To fill a limit order on-chain, you need to pass the signed order to the `fillOrder` method on the contract.
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## II. RFQ order
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**A request for quotation (RFQ)** is a business process in which a customer requests a quote from a supplier (marketmaker) for the purchase of some tokens.
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**A request for quotation (RFQ)** is a business process in which a customer requests a quote from a supplier (market-maker) for the purchase of some tokens.
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RFQ orders have different use cases, and are dedicated to marketmakers in the first place. The typical scenario is following:
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Marketmaker creates a bunch of RFQ Orders, and exposes it via the API.
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Trader or the platform algorithm ask for market maker quotes. If the quotes match traders' needs, the trader receives signed RFQ order from the marketmaker.
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RFQ orders have different use cases, and are dedicated to market-makers in the first place. The typical scenario is following:
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Market-maker creates a bunch of RFQ Orders, and exposes it via the API.
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Trader or the platform algorithm ask for market maker quotes. If the quotes match traders' needs, the trader receives signed RFQ order from the market-maker.
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#### RFQ order features
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**Gas optimized order** with restricted capabilities suitable **for marketmakers**
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**Gas optimized order** with restricted capabilities suitable **for market-makers**
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- Supports expiration time
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- Supports cancelation by order id
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## More resources
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- You can use it right in[1inch dApp](https://app.1inch.io/#/1/limit-order/WETH/DAI)
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- You can use Limit Orders within the[1inch dApp](https://app.1inch.io/#/1/limit-order/WETH/DAI)
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