1. Distribution Partner Models & Central Infrastructure
Participation is restricted to Distribution Partners, vetted and approved by Oro.
Each Distribution Partner is configured with a kind: Custodial or SelfCustody.
Custodial Model: Each Distribution Partner receives a central vault, implemented as a PDA under the TradeBook program’s control. Distribution Partners deposit USDC into this vault, which is managed through designated authorities while remaining secure under program oversight.
Self-Custody Model: A central PDA (associated with the Distribution Partner or a dedicated KYC entity) acts as a KYC approver for the Issuance Program and associated authorities. User funds (USDC and Oro tokens) are held directly in the users’ Web3 wallets. The Distribution Partner may still maintain a vault for their own operational funds and unlocked Oro tokens.
Custodial Model: Distribution Partners create user accounts by submitting a KYC-hashed identifier, which generates a compressed account (User PDA) for each user. These accounts store gold balances with extreme efficiency, reducing on-chain storage costs by approximately 1000x.
Self-Custody Model: Distribution Partners facilitate user onboarding by submitting a KYC-hashed identifier and the user’s public wallet address. This creates a compressed account (User PDA) that links the KYC hash to the user’s wallet. Gold balances are held and managed directly in the user’s wallet, not in the compressed account. The User PDA acts as a KYC record and authorization point.
Custodial Model: Controlled by the Distribution Partner for day-to-day operations, such as depositing funds into the central vault, creating users, and purchasing gold for users or the partner.
Self-Custody Model: Controlled by the Distribution Partner for operations like registering users (linking KYC to wallets) and purchasing gold for the Partner’s own reserves. User-specific transactions (buy/sell) are initiated via the Partner’s platform but signed by the User’s Wallet.
Withdrawal Authority:
Custodial Model: A distinct authority (optionally multi-signature) responsible for withdrawing unused USDC and unlocked Oro tokens from the central vault.
Self-Custody Model: Applies to the Distribution Partner’s operational vault for withdrawing their unused USDC and unlocked Oro tokens. Users withdraw funds directly from their own wallets.
Update Authority: Wallet that makes administrative and configuration changes along with API Key management.
For users: Gold is locked and allocated to the user’s compressed account within the central vault system, safeguarding their ownership.
For the Distribution Partner: Gold remains unlocked in their portion of the central vault, allowing the Distribution Partner to manage or withdraw it as needed.
USDC is deducted from the central vault, and gold tokens (Oro tokens) are minted to reflect the purchase.
Self-Custody Model:
Users purchase gold using funds from their own Web3 wallets, facilitated by the Distribution Partner’s platform. Transactions are signed by the User’s Wallet. Gold tokens (Oro tokens) are sent directly to the user’s wallet.
The Distribution Partner can purchase gold for their own reserves, which is held in their operational wallet or vault. USDC is deducted from their operational funds.
Custodial Model: The Withdrawal Authority can withdraw unused USDC and unlocked Oro tokens from the central vault at any time, ensuring liquidity while protecting locked user funds.
Self-Custody Model:
Users can withdraw/transfer their USDC and Gold tokens directly from their own Web3 wallets at any time.
The Distribution Partner’s Withdrawal Authority can withdraw unused USDC and unlocked Gold tokens from their own operational vault.
