@AuroFinance_ is a DeFi protocol on Aptos where users can deposit LST tokens like stAPT and stkAPT to borrow the stablecoin USDA without locking them up, participating in staking, liquidity mining, and lending to achieve higher returns 💦 🚩 Last night, Movemaker invited Auro's Chief Marketing Officer @Alexcho_Auro to chat, hosted and translated throughout by @Lyv_OnChain, with Alpha information at its peak: ➤ How does USDA maintain its peg? ➤ Besides the 20%+ savings interest, how else can USDA generate returns in the Aptos ecosystem? ➤ In the future, more collateral types will be supported, and BTCFi tokens are also under consideration ➤ Backed by the $AURO DAO governance system currently in development, promoting the decentralization of the protocol Listen to the replay 👉 If you missed the live broadcast, you can check out the highlights in text form below: 🟠 Why create Auro Finance? What is the core goal? Auro Finance is a DeFi protocol on Aptos that allows users to stake APT LSTs like stAPT and stkAPT to earn higher returns without locking them up. When we initially researched the market, we saw the immense potential of APT staking, so we wanted to build a project that could encourage users to create TVL for the Aptos ecosystem while also providing utility for APT. A few months later, Auro Finance was born. 🟠 Why choose to build on Aptos? Aptos features high throughput and high security with its Move smart contracts, enabling fast and secure transactions that align with our DeFi vision. Strategically, the growing Aptos ecosystem (including Amnis and Kofi) also supports our goal of achieving LST integration. Although the developer community for the Move language is still relatively niche, its resource-oriented design greatly supports the implementation of innovative applications, including Auro Finance and USDA. 🟠 How does USDA on Auro ensure it maintains its peg? What is the mechanism? Auro Finance uses a CDP mechanism that allows users to collateralize their crypto assets (such as stAPT/amAPT/stkAPT/kAPT) to borrow the USD-pegged stablecoin USDA. To maintain a stable 1:1 peg between USDA and the dollar, our design ensures that the value of the collateral is always greater than the borrowed amount, meaning it is over-collateralized. If the value of the collateral drops too low, our liquidation process will be triggered. The entire process is automated and nearly real-time, ensuring USDA remains stable. We have deeply researched and drawn from the proven CDP mechanisms of ListaDAO and MakerDAO, effectively merging the unique advantages of every successful protocol on Ethereum and BSC to provide our users with the best experience. 🟠 What considerations are there for using APT LST as collateral? Will more assets be added in the future for diversification? We chose Aptos LST as collateral because of their immense potential. Strategically, protocols like Amnis and Kofi are increasing APT staking, enhancing network security, and are actually driving the growth of the Aptos ecosystem. Therefore, the demand for LST is very high, creating favorable conditions for building Auro Finance. More importantly, the annual interest rate for depositing APT LST in lending protocols is currently close to zero, making it a huge opportunity for a protocol like Auro Finance that allows users to earn higher returns from staked APT. In addition to APT LST, we have recently listed USDC and USDT as collateral, which you can check on our website. 🟠 What are the core differences between Auro and MakerDAO? Auro Finance is built on Aptos, utilizing the secure and high-throughput infrastructure of Move to enable fast, low-cost USDA transactions, while MakerDAO is based on Ethereum, where transaction speeds are slower and costs are higher. We focus on using Aptos-native LST as collateral, while MakerDAO has a more diversified range of collateral, such as ETH and USDC. The biggest difference, I believe, is that we also provide more utility features for Auro's dual tokens, including AURO staking and USDA savings interest. 🟠 What is the savings interest rate for USDA, approximately 20% ~ 28%, and how is this yield generated? The interest rates in Auro Finance's USDA savings module come from the community rewards we allocate weekly from the AURO token model, which are distributed to users who deposit USDA. The amount of AURO token rewards corresponds to the value of your staked USDA. 🟠 Besides putting it in the Savings module to earn savings interest, where else can USDA be used to generate returns? You can also provide liquidity on Hyperion, forming a USDA-USDT LP to earn USDA rewards and collect trading fees. Alternatively, you can exchange USDA for other stablecoins and leverage through lending protocols like Aries or Echelon to earn returns. 🟠 Has Auro Finance undergone contract audits to ensure security? Auro has been audited by the reputable MoveBit in the Aptos ecosystem, with very few errors found, ensuring strong security. We also plan to collaborate with other reputable security audit firms to further enhance user trust in us. Even though the security of the Move language is quite robust, we still want to reassure our users as much as possible. 🟠 Can you share some interesting content from the future roadmap? In addition to APT LST and stablecoins, we also plan to add new types of collateral. New collateral must meet strict standards: high liquidity on DEX, security audits, and stable pegging. BTCFi tokens are also something we plan to explore, but only time will tell. Additionally, we are developing a DAO governance model to ensure the decentralization of our protocol. 🟠 Will Auro Finance and USDA support multi-chain in the future? We first hope to become the leader in the Aptos DeFi ecosystem, ensuring our protocol can cover as many Aptos applications and users as possible. If it’s a multi-chain like MakerDAO, that is our ultimate goal, but we won’t pursue it in the short term. We will only consider it when the goals are mature enough and the solutions are secure.