diff --git a/prisma/migrations/20221005192538_auction_update/migration.sql b/prisma/migrations/20221005192538_auction_update/migration.sql
new file mode 100644
index 00000000..49cf9646
--- /dev/null
+++ b/prisma/migrations/20221005192538_auction_update/migration.sql
@@ -0,0 +1,47 @@
+CREATE OR REPLACE FUNCTION run_auction(item_id INTEGER) RETURNS void AS $$
+    DECLARE
+        bid INTEGER;
+        user_id INTEGER;
+        user_msats INTEGER;
+        item_status "Status";
+        status_updated_at timestamp(3);
+    BEGIN
+        PERFORM ASSERT_SERIALIZED();
+
+        -- extract data we need
+        SELECT "maxBid" * 1000, "userId", status, "statusUpdatedAt" INTO bid, user_id, item_status, status_updated_at FROM "Item" WHERE id = item_id;
+        SELECT msats INTO user_msats FROM users WHERE id = user_id;
+
+        -- 0 bid items expire after 30 days unless updated
+        IF bid = 0 THEN
+            IF item_status <> 'STOPPED' THEN
+                IF status_updated_at < now_utc() - INTERVAL '30 days' THEN
+                    UPDATE "Item" SET status = 'STOPPED', "statusUpdatedAt" = now_utc() WHERE id = item_id;
+                ELSEIF item_status = 'NOSATS' THEN
+                    UPDATE "Item" SET status = 'ACTIVE' WHERE id = item_id;
+                END IF;
+            END IF;
+            RETURN;
+        END IF;
+
+        -- check if user wallet has enough sats
+        IF bid > user_msats THEN
+            -- if not, set status = NOSATS and statusUpdatedAt to now_utc if not already set
+            IF item_status <> 'NOSATS' THEN
+                UPDATE "Item" SET status = 'NOSATS', "statusUpdatedAt" = now_utc() WHERE id = item_id;
+            END IF;
+        ELSE
+            -- if so, deduct from user
+            UPDATE users SET msats = msats - bid WHERE id = user_id;
+
+            -- create an item act
+            INSERT INTO "ItemAct" (sats, "itemId", "userId", act, created_at, updated_at)
+            VALUES (bid / 1000, item_id, user_id, 'STREAM', now_utc(), now_utc());
+
+            -- update item status = ACTIVE and statusUpdatedAt = now_utc if NOSATS
+            IF item_status = 'NOSATS' THEN
+                UPDATE "Item" SET status = 'ACTIVE', "statusUpdatedAt" = now_utc() WHERE id = item_id;
+            END IF;
+        END IF;
+    END;
+$$ LANGUAGE plpgsql;
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