Aurion Protocol

Aurion is a non-custodial credit layer that aggregates DeFi positions across Aave and Compound, enabling higher leverage through delegated credit guarantees.**

The Problem

DeFi lending is broken in 3 ways:

1. Fragmented Identity: Your $100k on Aave + $50k on Compound = treated as 2 separate users. Capital inefficiency everywhere.

2. No Credit Market: Liquidity providers are forced to absorb credit risk. No one can specialize. Capital sits idle.

3. Reactive Risk Management: Protocols only liquidate after positions fail. No credit scores, no gradual interventions, no reputation.

Result: Massive capital inefficiency. Overcollateralization across protocols. No path to institutional adoption.

Our Solution

Credit Aggregation Layer
Aurion sits above Aave/Compound without replacing them:

User's Aave position + Compound position
         ↓
    Unified Credit Account
         ↓
    Borrow with aggregate LTV

How It Works (3 Steps)

1. Aggregate: We read your positions on Aave + Compound, create one credit account

2. Route: All borrows go through our router (validates credit, then executes on Aave/Compound)

3. Guarantee: Credit Providers deposit capital as loss buffers → You get higher LTV

Key Innovation
Separate liquidity from credit risk
- Liquidity providers (Aave/Compound) lend as usual
- Credit Providers earn fees by backing borrowers
- Borrowers access 2-3x higher leverage

Key Features

1. Cross-Protocol Accounts

• Single credit identity across Aave + Compound

• Portfolio-level risk assessment

• Result: 30-40% better capital efficiency

2. Delegated Credit Pools

• Credit Providers deposit capital (never lent)

• Acts as loss buffer for borrowers

• Earn 2-7% APR on idle capital

• Result: $500M+ unused capacity unlocked

3. Credit Scoring

• On-chain reputation (0-1000 score)

• Based on repayment history, health factor

• Better scores = higher limits, lower fees

• Result: First portable DeFi credit score

4. Risk Tiers
   | Tier | Max LTV | Fee | Min Score |
   |------|---------|-----|-----------|
   | Conservative | 75% | 2% APR | 700 |
   | Moderate | 85% | 4% APR | 500 |
   | Aggressive | 95% | 7% APR | 300 |

5. Pre-emptive Risk Management

• Dynamic borrow caps based on volatility

• Collateral top-up requirements

• Credit recall mechanism

• Result: 60% fewer liquidations

Tech Stack

Smart Contracts

• Solidity 0.8.20+ | Foundry | OpenZeppelin

• Certora (formal verification) | 95%+ test coverage

Frontend

• React 18 | Tailwind CSS | Ethers.js v6

• wagmi | RainbowKit

Infrastructure

• Arbitrum One (L2 deployment)

• Chainlink (price oracles)

Security

• Formal verification

• Multiple audits planned

• Bug bounty program

• Invariant-based testing

Roadmap

Phase 1: Foundation (NOW - Month 4) ✅ 70% Done

• Core contracts (CreditManager, Router, Accounts)

• Aave adapter

• Basic risk engine

• Frontend UI

• Testnet deployment this week

Phase 2: Launch (Month 5-8)

• Compound adapter

• Credit Pools live

• Credit scoring v1

• Security audit #1

• Mainnet beta ($5M TVL cap)**

Phase 3: Scale (Month 9-12)

• Remove TVL caps

• Governance token

• Tradeable credit positions

• $50M+ TVL target

Traction & Metrics

Current Status:

• ✅ Whitepaper complete

• ✅ Smart contracts 70% done

• ✅ Frontend demo built

• ✅ Test suite with invariants

• 🔄 Testnet deployment in progress

6-Month Targets:

• $10M TVL

• 500+ credit accounts

• 50+ Credit Providers

• 2 protocols integrated

12-Month Targets:

• $50M TVL

• 2,000+ accounts

• DAO governance live

• 3-4 protocols

Business Model

Revenue Split:

• 70% → Credit Providers

• 20% → Insurance Fund

• 10% → Protocol Treasury

Projections:

• $100M TVL × 50% util × 4% fee = $2M annual revenue