AuRoom

Problem & Solution
In Indonesia, gold is one of the most trusted forms of financial protection. According to the World Gold Council, approximately 67% of Indonesians hold gold to strengthen financial resilience and prepare for uncertainty. Yet, when emergencies actually occur, gold holders fall into a liquidity trap.
In urgent situations, people are forced to either sell gold at an instant 8–12% loss due to wide bid-ask spreads, or navigate slow and bureaucratic pawn processes that are poorly suited for medical, educational, or daily cash emergencies. The problem is not the value of gold, it is that the existing liquidity system forces permanent decisions during temporary crises.
AuRoom solves this by introducing the Gold Emergency Liquidity Buffer.
Instead of forcing a sale, AuRoom allows users to access emergency cash without giving up ownership of their gold. Users buy time, crossing the emergency, while preserving their long-term financial position.

Key Features

1. Intent-Based Emergency Flow
2. Users start by entering how much IDR they need. AuRoom automatically calculates the required gold buffer and safety margins in the background, eliminating financial and technical decision-making during stress.
3. Partial Liquidity Access
4. Users unlock only the amount needed for the emergency, without liquidating their entire gold holdings.
5. Direct Gold-to-Bank Settlement
6. Emergency funds are delivered straight to the user’s bank account through a hybrid on-chain and off-chain system — avoiding exchanges, pawnshops, or manual cash-out steps.
7. Emergency-First UX
8. No crypto calculations, no protocol decisions, no financial jargon. The system is designed for speed, clarity, and minimal cognitive load in high-stress moments.

Core Infrastructure
AuRoom bridges transparent smart contracts for temporary gold locking with bank APIs for fiat settlement. This hybrid approach ensures asset safety on-chain while meeting real-world emergency needs off-chain.

Acknowledgement

1. The current MVP is designed with a compliance-first architecture, incorporating permissioned on-chain access, identity-gated interactions, and a settlement abstraction aligned with regulated asset flows.
2. Fiat settlement is implemented through an IDRX-compatible settlement abstraction, designed to mirror publicly documented IDRX redemption and conversion processes. This implementation validates protocol logic, compliance boundaries, and on-chain/off-chain coordination. IDRX is a regulated digital asset that offers seamless conversions and can be redeemed at a fixed rate for Indonesian Rupiah (https://home.idrx.co/en/ ).
3. Live regulated asset issuance, custody, and redemption are planned to be executed exclusively through licensed partners once mainnet availability and regulatory approvals are in place.
4. AuRoom does not issue fiat, stablecoins, or gold-backed assets independently and is structured to operate as an integration layer rather than a regulated asset issuer.

Demo Link
https://auroom-base-testnet.vercel.app

AuRoom is built as an end-to-end lending and settlement stack, designed to show not only borrowing UX but also real operational safety. The architecture combines on-chain execution, oracle automation, liquidation protection, and off-chain bank settlement into one integrated product.

1. Frontend app (Next.js 16)

• Wallet-native UX for borrow, repay, and redeem.
• Built with wagmi + viem for contract interactions.
• Includes pre-flight transaction simulation feedback before signing.

2. Smart contract layer (Base Sepolia)

• Core protocol contract: BorrowingProtocolCRE.
• Collateral token: XAUT; loan token: IDRX.
• Identity/KYC registry gates limits and access tiers.
• Core methods: depositAndBorrow(), repayAndWithdraw(), setXAUTPrice(), liquidate(address).

3. Backend API layer (Next.js API routes)

• Handles simulation proxying, KYC routes, faucet/funding, and redemption endpoints.
• Stores sensitive credentials server-side.
• Bridges frontend actions to both blockchain and off-chain services.

4. Tenderly simulation layer

• Runs transaction simulation against live Base Sepolia state.
• Checks balances/approvals and surfaces revert reasons before user signs.
• Reduces failed transactions and improves user confidence.

5. Chainlink CRE workflow: Gold Price Feed

• Cron-based workflow fetches gold price inputs from multiple sources.
• Aggregates into a robust protocol price.
• Pushes on-chain updates via setXAUTPrice() to keep collateral valuation fresh.

6. Chainlink CRE workflow: Liquidation Guardian

• Located at /Users/killerbie/Documents/web3/auroom-cre-workflows/liquidation-guardian.
• Runs every minute (*/1 * * * *).
• Reads active users and position summaries.
• Auto-calls liquidate(user) for risky/liquidatable positions.
• Sends Telegram/webhook alerts after liquidation actions.
• Uses safeguards like maxUsersToCheck and configured gas limits.

7. Off-chain settlement bridge (real-world utility)

• After on-chain loan activity, users can redeem IDRX to real IDR bank transfer.
• Supports fast self-service and treasury-assisted settlement for larger amounts.
• This is the key bridge from DeFi liquidity to real fiat outcomes.

In short, AuRoom is not just “borrow against tokenized gold.” It is a complete RWA lending system with live oracle pricing, autonomous liquidation defense, and direct fiat settlement, which makes it much closer to production-grade financial infrastructure.