- 1inch has become the first DeFi ecosystem to achieve ISO 27001 and SOC 2 Type 1 certifications.
- These certifications elevate DeFi projects to an institutional level of trust, enhancing security and corporate governance.
- The certification was issued by Degensoft Ltd, a subsidiary registered in the UAE.
- This achievement underscores 1inch’s commitment to bridging decentralized finance with traditional finance.
- 1inch collaborated with zeroShadow and Prescient Security LLC for audit preparation and execution.
1inch: The First DeFi Ecosystem with ISO 27001 and SOC 2 Certifications
In a groundbreaking move for decentralized finance (DeFi), 1inch has become the first ecosystem in this space to secure both ISO 27001 and SOC 2 Type 1 certifications. These internationally recognized standards confirm a high level of security and corporate governance within the project, moving DeFi closer to achieving institutional-level trust.
The certifications were issued by Degensoft Ltd, a subsidiary based in the UAE. This milestone strengthens 1inch’s position as one of the most reliable players in the DeFi sector. Representatives from the project highlighted this achievement as a crucial part of their strategy to bridge DeFi with traditional finance.
Setting New Standards in DeFi Security
The significance of these certifications cannot be overstated. Previously, such international standards were predominantly applied within centralized entities like Binance, Coinbase, Trust Wallet, and Chainlink Labs. By being the first DeFi project to attain this level of formal compliance, 1inch emphasizes its dedication to security principles and compliance requirements.
The ISO 27001 certification attests to the implementation of an information security management system following a two-stage audit process. Meanwhile, SOC 2 Type 1 evaluates the reliability of internal controls and risk management procedures. For the evolving DeFi sector, these measures are becoming critical as it transitions from experimental protocols to mature financial solutions.
A Step Towards Institutional Trust
Co-founder Sergei Kunz notes that while there is much talk within the DeFi community about converging with traditional finance, few projects genuinely adapt their processes accordingly. According to Kunz, implementing ISO and SOC standards does not contradict decentralization but instead enables them “to speak the same language” as institutional partners.
By aligning with these standards, 1inch aims to create an infrastructure compatible with regulatory requirements—facilitating interactions with banks and corporate clients. This move aligns perfectly with their recent rebranding efforts focused on institutional trust.
Collaborative Efforts for Enhanced Compliance
To prepare for this rigorous certification process, 1inch partnered with consulting firms zeroShadow and Prescient Security LLC. zeroShadow played a key role in developing control systems and supporting documentation, while Prescient Security served as an independent auditor confirming conformity with international standards.
As part of its broader mission beyond self-advancement, 1inch is eager to share its experiences regarding certification procedures with other projects aiming for similar recognition—ultimately raising overall security levels across the industry through collaboration rather than competition.
This strategic leap marks an important shift towards greater reliability across decentralized platforms—a necessary step if we are ever going see true integration between emerging technologies like blockchain-based solutions alongside existing financial frameworks globally.”
