diff --git a/src/commands/configure.gateway.e2e.test.ts b/src/commands/configure.gateway.e2e.test.ts
index a4d7846325..a36f7acbf3 100644
--- a/src/commands/configure.gateway.e2e.test.ts
+++ b/src/commands/configure.gateway.e2e.test.ts
@@ -82,30 +82,33 @@ async function runTrustedProxyPrompt(params: {
   tailscaleMode?: "off" | "serve";
 }) {
   return runGatewayPrompt({
-    selectQueue: ["loopback", "trusted-proxy", params.tailscaleMode ?? "off"],
+    selectQueue: ["lan", params.tailscaleMode ?? "off", "trusted-proxy"],
     textQueue: params.textQueue,
     authConfigFactory: ({ mode, trustedProxy }) => ({ mode, trustedProxy }),
   });
 }
 
 describe("promptGatewayConfig", () => {
-  it("generates a token when the prompt returns undefined", async () => {
+  it("skips gateway auth setup for loopback-only gateways", async () => {
     const { result } = await runGatewayPrompt({
-      selectQueue: ["loopback", "token", "off"],
-      textQueue: ["18789", undefined],
+      selectQueue: ["loopback", "off"],
+      textQueue: ["18789"],
       randomToken: "generated-token",
       authConfigFactory: ({ mode, token, password }) => ({ mode, token, password }),
     });
-    expect(result.token).toBe("generated-token");
+    expect(result.token).toBeUndefined();
+    expect(result.config.gateway?.auth).toBeUndefined();
+    expect(mocks.buildGatewayAuthConfig).not.toHaveBeenCalled();
   });
 
-  it("does not set password to literal 'undefined' when prompt returns undefined", async () => {
+  it("configures password auth when gateway is exposed", async () => {
     const { call } = await runGatewayPrompt({
-      selectQueue: ["loopback", "password", "off"],
+      selectQueue: ["lan", "off", "password"],
       textQueue: ["18789", undefined],
       randomToken: "unused",
       authConfigFactory: ({ mode, token, password }) => ({ mode, token, password }),
     });
+    expect(call?.mode).toBe("password");
     expect(call?.password).not.toBe("undefined");
     expect(call?.password).toBe("");
   });
diff --git a/src/commands/configure.gateway.ts b/src/commands/configure.gateway.ts
index b0676f311a..4780549b2c 100644
--- a/src/commands/configure.gateway.ts
+++ b/src/commands/configure.gateway.ts
@@ -85,22 +85,7 @@ export async function promptGatewayConfig(
     customBindHost = typeof input === "string" ? input : undefined;
   }
 
-  let authMode = guardCancel(
-    await select({
-      message: "Gateway auth",
-      options: [
-        { value: "token", label: "Token", hint: "Recommended default" },
-        { value: "password", label: "Password" },
-        {
-          value: "trusted-proxy",
-          label: "Trusted Proxy",
-          hint: "Behind reverse proxy (Pomerium, Caddy, Traefik, etc.)",
-        },
-      ],
-      initialValue: "token",
-    }),
-    runtime,
-  ) as GatewayAuthChoice;
+  let authMode: GatewayAuthChoice = "token";
 
   let tailscaleMode = guardCancel(
     await select({
@@ -137,22 +122,44 @@ export async function promptGatewayConfig(
     bind = "loopback";
   }
 
-  if (tailscaleMode === "funnel" && authMode !== "password") {
-    note("Tailscale funnel requires password auth.", "Note");
-    authMode = "password";
-  }
+  const loopbackOnlyGateway = bind === "loopback" && tailscaleMode === "off";
+  if (loopbackOnlyGateway) {
+    note("Loopback-only gateway does not require gateway.auth. Keeping auth disabled.", "Note");
+  } else {
+    authMode = guardCancel(
+      await select({
+        message: "Gateway auth",
+        options: [
+          { value: "token", label: "Token", hint: "Recommended default" },
+          { value: "password", label: "Password" },
+          {
+            value: "trusted-proxy",
+            label: "Trusted Proxy",
+            hint: "Behind reverse proxy (Pomerium, Caddy, Traefik, etc.)",
+          },
+        ],
+        initialValue: tailscaleMode === "funnel" ? "password" : "token",
+      }),
+      runtime,
+    ) as GatewayAuthChoice;
 
-  if (authMode === "trusted-proxy" && bind === "loopback") {
-    note("Trusted proxy auth requires network bind. Adjusting bind to lan.", "Note");
-    bind = "lan";
-  }
-  if (authMode === "trusted-proxy" && tailscaleMode !== "off") {
-    note(
-      "Trusted proxy auth is incompatible with Tailscale serve/funnel. Disabling Tailscale.",
-      "Note",
-    );
-    tailscaleMode = "off";
-    tailscaleResetOnExit = false;
+    if (tailscaleMode === "funnel" && authMode !== "password") {
+      note("Tailscale funnel requires password auth.", "Note");
+      authMode = "password";
+    }
+
+    if (authMode === "trusted-proxy" && bind === "loopback") {
+      note("Trusted proxy auth requires network bind. Adjusting bind to lan.", "Note");
+      bind = "lan";
+    }
+    if (authMode === "trusted-proxy" && tailscaleMode !== "off") {
+      note(
+        "Trusted proxy auth is incompatible with Tailscale serve/funnel. Disabling Tailscale.",
+        "Note",
+      );
+      tailscaleMode = "off";
+      tailscaleResetOnExit = false;
+    }
   }
 
   let gatewayToken: string | undefined;
@@ -163,7 +170,7 @@ export async function promptGatewayConfig(
   let trustedProxies: string[] | undefined;
   let next = cfg;
 
-  if (authMode === "token") {
+  if (!loopbackOnlyGateway && authMode === "token") {
     const tokenInput = guardCancel(
       await text({
         message: "Gateway token (blank to generate)",
@@ -174,7 +181,7 @@ export async function promptGatewayConfig(
     gatewayToken = normalizeGatewayTokenInput(tokenInput) || randomToken();
   }
 
-  if (authMode === "password") {
+  if (!loopbackOnlyGateway && authMode === "password") {
     const password = guardCancel(
       await text({
         message: "Gateway password",
@@ -185,7 +192,7 @@ export async function promptGatewayConfig(
     gatewayPassword = String(password ?? "").trim();
   }
 
-  if (authMode === "trusted-proxy") {
+  if (!loopbackOnlyGateway && authMode === "trusted-proxy") {
     note(
       [
         "Trusted proxy mode: OpenClaw trusts user identity from a reverse proxy.",
@@ -261,22 +268,26 @@ export async function promptGatewayConfig(
     };
   }
 
-  const authConfig = buildGatewayAuthConfig({
-    existing: next.gateway?.auth,
-    mode: authMode,
-    token: gatewayToken,
-    password: gatewayPassword,
-    trustedProxy: trustedProxyConfig,
-  });
+  const authConfig = loopbackOnlyGateway
+    ? undefined
+    : buildGatewayAuthConfig({
+        existing: next.gateway?.auth,
+        mode: authMode,
+        token: gatewayToken,
+        password: gatewayPassword,
+        trustedProxy: trustedProxyConfig,
+      });
 
+  const gatewayWithoutAuth = { ...next.gateway };
+  delete gatewayWithoutAuth.auth;
   next = {
     ...next,
     gateway: {
-      ...next.gateway,
+      ...gatewayWithoutAuth,
       mode: "local",
       port,
       bind,
-      auth: authConfig,
+      ...(authConfig ? { auth: authConfig } : {}),
       ...(customBindHost && { customBindHost }),
       ...(trustedProxies && { trustedProxies }),
       tailscale: {
diff --git a/src/commands/doctor.ts b/src/commands/doctor.ts
index cbd2fc3868..ac2d77b0ce 100644
--- a/src/commands/doctor.ts
+++ b/src/commands/doctor.ts
@@ -123,14 +123,18 @@ export async function doctorCommand(
     note(gatewayDetails.remoteFallbackNote, "Gateway");
   }
   if (resolveMode(cfg) === "local") {
+    const gatewayBind = cfg.gateway?.bind ?? "loopback";
+    const tailscaleMode = cfg.gateway?.tailscale?.mode ?? "off";
+    const requireGatewayAuth = gatewayBind !== "loopback" || tailscaleMode !== "off";
     const auth = resolveGatewayAuth({
       authConfig: cfg.gateway?.auth,
-      tailscaleMode: cfg.gateway?.tailscale?.mode ?? "off",
+      tailscaleMode,
     });
-    const needsToken = auth.mode !== "password" && (auth.mode !== "token" || !auth.token);
+    const needsToken =
+      requireGatewayAuth && auth.mode !== "password" && (auth.mode !== "token" || !auth.token);
     if (needsToken) {
       note(
-        "Gateway auth is off or missing a token. Token auth is now the recommended default (including loopback).",
+        "Gateway auth is off or missing a token. Token auth is recommended when the gateway is exposed beyond local loopback.",
         "Gateway auth",
       );
       const shouldSetToken =