AccountingOne (A1)

The Challenge: Financial Literacy Gap in the Digital Economy The rapid adoption of AI and blockchain technology has sparked an unprecedented wave of entrepreneurship. One-person businesses, freelancers, and small enterprises are emerging at an extraordinary pace, powered by digital tools and cryptocurrency transactions. However, this digital transformation has created a critical gap: most entrepreneurs lack the financial knowledge to properly manage their accounting.

Why Traditional Solutions Fall Short ❌ External Accountants Are Costly & Risky

Outsourcing bookkeeping costs $500-2000+ monthly for small businesses When accountants make mistakes, business owners often don't notice until it's too late You should understand your own business and money better than anyone else ❌ Traditional Bookkeeping Apps Are Complex

Require extensive accounting knowledge to use effectively Not designed for modern digital businesses Filing taxes becomes overwhelming without proper financial background ❌ Existing AI Accounting Tools Are Limited

Current AI accounting solutions don't support cryptocurrency transactions Traditional accountants lack expertise in blockchain and crypto tax implications No integrated solution for DeFi, staking, NFTs, and complex crypto activities The AccountingOne Solution AccountingOne (A1) is the world's first AI-powered blockchain accounting platform designed to democratize financial management for the digital economy. We enable anyone—regardless of their accounting background—to run professional-grade bookkeeping and understand their money better than traditional accountants.

Our Core Mission "Empower every entrepreneur to become their own CFO through intelligent, crypto-native accounting automation."

We believe that in the digital economy, business owners should have:

✅ Complete financial transparency and understanding of their business ✅ Professional-grade accounting without requiring accounting degrees ✅ Crypto-native solutions that understand blockchain transactions ✅ Cost-effective automation that scales with their business ✅ Tax compliance confidence for traditional and digital assets Who We Serve 🚀 Digital Entrepreneurs

Solo founders building AI-powered startups Crypto traders and DeFi participants NFT creators and blockchain developers 💼 Modern Small Businesses

E-commerce stores accepting crypto payments Digital agencies working with international clients Consulting firms with diverse revenue streams 👨‍💻 Freelancers & Creators

Content creators monetizing through crypto Developers earning from multiple blockchain projects Consultants working across traditional and digital economies The Technology Edge Unlike traditional accounting software, AccountingOne is built from the ground up for the blockchain era:

🧠 Advanced AI Analysis

Google Gemini AI automatically categorizes complex crypto transactions Recognizes DeFi protocols, staking activities, NFT trades, and token transfers Learns from user patterns to improve accuracy over time ⛓️ Real-Time Blockchain Integration

Direct smart contract integration with Flare FTSO v2 for live price feeds Multi-network support (Ethereum, Flare, and expanding) Cryptographically verified USD valuations for all transactions 📊 Professional Compliance

Generates IFRS-compliant journal entries automatically Maintains complete audit trails for all transactions Prepares businesses for seamless tax filing

The Future of Accounting AccountingOne represents a fundamental shift from traditional bookkeeping to intelligent financial management. We're not just digitizing old processes—we're reimagining how entrepreneurs interact with their finances in an AI-driven, blockchain-native world.

Our vision: Every entrepreneur, regardless of their financial background, should have access to enterprise-level financial insights and compliance tools that help them make better business decisions and focus on what they do best—building their dreams.

I first built the basic LLM model structure and let the user to interact with AI to generate journal entries. the biggest challenges is to design and test different prompt and ensure we have a correct IFRS rule based AI model to generate correct instructions for generating journal entries.

then I moved to implement the blockscout api, it's a bit hard, because it doesn't support multi-chain at the moment, i have to use costan2 flare testnet because i want to apply for that award as well. so my hack is to create a XYD token on costan2 network for simulation purpose. we need data to show some financial report. So we also deploy and verified smart contract on blockscout (costan2)

lastly, i jumped to implement the flare network using their FTSOv2 price feed, I deployed my own price consumer smart contract, and faced some foundry setup issue at the beginning, but with the help of the flare guys, I rebuild everything and managed to get the real time and historical price feed onchain. that adds a feature for the app to show the dollar value of the crypto assets.

below are gpt generated architecture of implementation:

Architecture & Technology Stack Frontend: Modern React Experience Technology: Next.js 14 with App Router, React 18, TypeScript, Tailwind CSS We chose Next.js for its excellent developer experience and built-in optimizations. The App Router provides clean routing architecture, while TypeScript ensures type safety across our complex data structures. Tailwind CSS allows for rapid, consistent UI development. Key Frontend Innovations: Real-time UI updates with optimistic rendering for transaction processing Independent scrolling areas for chat and journal entries using CSS Grid/Flexbox Responsive design that works seamlessly on desktop and mobile Component-based architecture with reusable UI components Backend: Robust Node.js API Technology: Node.js, Express.js, JWT authentication The backend is built as a RESTful API with comprehensive error handling and validation. We use Express.js for its middleware ecosystem and JWT tokens for secure authentication. Architecture Highlights: Service-oriented design with separate services for AI, blockchain, and accounting logic Comprehensive error handling with detailed logging using Winston API documentation with Swagger/OpenAPI specs Rate limiting and security middleware for production readiness Database: PostgreSQL with Supabase Technology: PostgreSQL, Supabase (Database + Auth + Real-time) Supabase provides enterprise-grade PostgreSQL hosting with built-in authentication and real-time capabilities. Our schema is designed for financial data integrity with proper foreign key constraints. Database Design: ACID compliance for financial transaction integrity Normalized schema with proper relationships between users, transactions, and journal entries JSON columns for flexible blockchain metadata storage Audit trails with created_at/updated_at timestamps on all tables Innovative Technical Components

1. Smart Contract Integration (Most Notable Achievement) The Challenge: Most accounting systems rely on external price APIs that can be unreliable or manipulated. We needed cryptographically verified, real-time price data. Our Solution: Direct smart contract integration with Flare FTSO v2

Technical Implementation: Ethers.js for blockchain interaction from Node.js backend Contract ABI integration for type-safe smart contract calls Caching layer to optimize contract calls and reduce gas costs Fallback mechanisms with mock prices for development/testing Why This Is Innovative: We're one of the first accounting platforms to get price data directly from decentralized oracles rather than centralized APIs, ensuring data integrity and reducing single points of failure. 2. Advanced AI Transaction Categorization The Challenge: Cryptocurrency transactions are complex and context-dependent. A single transaction might involve staking, trading, gas fees, and token transfers simultaneously. Our Solution: Multi-layered AI analysis with Google Gemini Technical Approach: Context-aware prompting with transaction metadata, token information, and historical patterns Category-specific templates for different transaction types (staking, DeFi, NFTs) Confidence scoring to indicate AI certainty levels Nuclear option fallback with hardcoded rules for critical transaction types Prompt Engineering Innovations:

AI Learning System: Pattern recognition from user corrections and manual entries Continuous improvement through feedback loops Multi-model support (currently Gemini, easily extensible to others) 3. Real-Time and historical Blockchain Data Processing The Challenge: Blockchain APIs are often slow, rate-limited, and inconsistent across networks. Our Solution: we leverage flare network's FTSOv2 to fetch accurate historical prize feed for the token user want to record in journal entries. Technical Features: Multi-network support (Ethereum, Flare, Coston2 testnet) Intelligent retry mechanisms with exponential backoff Data normalization across different blockchain explorers Bulk processing capabilities for wallet-wide analysis Blockscout Integration: 4. Professional Accounting Compliance The Challenge: Generating accounting entries that meet professional standards (IFRS) while being understandable to non-accountants. Our Solution: Structured chart of accounts with intelligent mapping Technical Implementation: Standardized account hierarchy based on IFRS guidelines Automatic account creation for new cryptocurrencies Double-entry bookkeeping validation ensuring debits = credits Audit trail maintenance for regulatory compliance