@rev-net/core-v6 0.0.11 → 0.0.13

package/test/TestReallocationSandwich.t.sol

@@ -0,0 +1,384 @@
+// SPDX-License-Identifier: MIT
+pragma solidity 0.8.26;
+
+// forge-lint: disable-next-line(unaliased-plain-import)
+import "forge-std/Test.sol";
+// forge-lint: disable-next-line(unaliased-plain-import)
+import /* {*} from */ "@bananapus/core-v6/test/helpers/TestBaseWorkflow.sol";
+// forge-lint: disable-next-line(unaliased-plain-import)
+import /* {*} from */ "./../src/REVDeployer.sol";
+// forge-lint: disable-next-line(unaliased-plain-import)
+import "@croptop/core-v6/src/CTPublisher.sol";
+import {MockBuybackDataHook} from "./mock/MockBuybackDataHook.sol";
+// forge-lint: disable-next-line(unaliased-plain-import)
+import "@bananapus/core-v6/script/helpers/CoreDeploymentLib.sol";
+// forge-lint: disable-next-line(unaliased-plain-import)
+import "@bananapus/721-hook-v6/script/helpers/Hook721DeploymentLib.sol";
+// forge-lint: disable-next-line(unaliased-plain-import)
+import "@bananapus/suckers-v6/script/helpers/SuckerDeploymentLib.sol";
+// forge-lint: disable-next-line(unaliased-plain-import)
+import "@croptop/core-v6/script/helpers/CroptopDeploymentLib.sol";
+// forge-lint: disable-next-line(unaliased-plain-import)
+import "@bananapus/router-terminal-v6/script/helpers/RouterTerminalDeploymentLib.sol";
+import {JBConstants} from "@bananapus/core-v6/src/libraries/JBConstants.sol";
+import {JBAccountingContext} from "@bananapus/core-v6/src/structs/JBAccountingContext.sol";
+import {JBPermissionIds} from "@bananapus/permission-ids-v6/src/JBPermissionIds.sol";
+import {REVLoans} from "../src/REVLoans.sol";
+import {REVLoan} from "../src/structs/REVLoan.sol";
+import {REVStageConfig, REVAutoIssuance} from "../src/structs/REVStageConfig.sol";
+import {REVLoanSource} from "../src/structs/REVLoanSource.sol";
+import {REVDescription} from "../src/structs/REVDescription.sol";
+import {IREVLoans} from "./../src/interfaces/IREVLoans.sol";
+import {JBSuckerDeployerConfig} from "@bananapus/suckers-v6/src/structs/JBSuckerDeployerConfig.sol";
+import {JBSuckerRegistry} from "@bananapus/suckers-v6/src/JBSuckerRegistry.sol";
+import {JB721TiersHookDeployer} from "@bananapus/721-hook-v6/src/JB721TiersHookDeployer.sol";
+import {JB721TiersHook} from "@bananapus/721-hook-v6/src/JB721TiersHook.sol";
+import {JB721TiersHookStore} from "@bananapus/721-hook-v6/src/JB721TiersHookStore.sol";
+import {JBAddressRegistry} from "@bananapus/address-registry-v6/src/JBAddressRegistry.sol";
+import {IJBAddressRegistry} from "@bananapus/address-registry-v6/src/interfaces/IJBAddressRegistry.sol";
+import {REVEmpty721Config} from "./helpers/REVEmpty721Config.sol";
+
+/// @notice Deterministic test for the reallocation sandwich at stage boundaries.
+/// Documents that a borrower can extract additional value by calling `reallocateCollateralFromLoan` immediately
+/// after a stage transition that lowers the `cashOutTaxRate`. This is intentional design behavior:
+/// loan value tracks the current bonding curve parameters, and stage boundaries are immutable and predictable.
+/// See RISKS.md section 3 ("reallocateCollateralFromLoan sandwich potential") for details.
+contract TestReallocationSandwich is TestBaseWorkflow {
+    // forge-lint: disable-next-line(mixed-case-variable)
+    bytes32 REV_DEPLOYER_SALT = "REVDeployer";
+
+    // forge-lint: disable-next-line(mixed-case-variable)
+    REVDeployer REV_DEPLOYER;
+    // forge-lint: disable-next-line(mixed-case-variable)
+    JB721TiersHook EXAMPLE_HOOK;
+    // forge-lint: disable-next-line(mixed-case-variable)
+    IJB721TiersHookDeployer HOOK_DEPLOYER;
+    // forge-lint: disable-next-line(mixed-case-variable)
+    IJB721TiersHookStore HOOK_STORE;
+    // forge-lint: disable-next-line(mixed-case-variable)
+    IJBAddressRegistry ADDRESS_REGISTRY;
+    // forge-lint: disable-next-line(mixed-case-variable)
+    IREVLoans LOANS_CONTRACT;
+    // forge-lint: disable-next-line(mixed-case-variable)
+    IJBSuckerRegistry SUCKER_REGISTRY;
+    // forge-lint: disable-next-line(mixed-case-variable)
+    CTPublisher PUBLISHER;
+    // forge-lint: disable-next-line(mixed-case-variable)
+    MockBuybackDataHook MOCK_BUYBACK;
+
+    // forge-lint: disable-next-line(mixed-case-variable)
+    uint256 FEE_PROJECT_ID;
+    // forge-lint: disable-next-line(mixed-case-variable)
+    uint256 REVNET_ID;
+
+    // forge-lint: disable-next-line(mixed-case-variable)
+    address BORROWER = makeAddr("borrower");
+    // forge-lint: disable-next-line(mixed-case-variable)
+    address OTHER_PAYER = makeAddr("otherPayer");
+
+    address private constant TRUSTED_FORWARDER = 0xB2b5841DBeF766d4b521221732F9B618fCf34A87;
+
+    /// @notice Stage 1 starts now with 60% cashOutTaxRate, stage 2 starts after 30 days with 20% cashOutTaxRate.
+    function _buildConfig()
+        internal
+        view
+        returns (REVConfig memory cfg, JBTerminalConfig[] memory tc, REVSuckerDeploymentConfig memory sdc)
+    {
+        JBAccountingContext[] memory acc = new JBAccountingContext[](1);
+        acc[0] = JBAccountingContext({
+            token: JBConstants.NATIVE_TOKEN, decimals: 18, currency: uint32(uint160(JBConstants.NATIVE_TOKEN))
+        });
+        tc = new JBTerminalConfig[](1);
+        tc[0] = JBTerminalConfig({terminal: jbMultiTerminal(), accountingContextsToAccept: acc});
+
+        REVStageConfig[] memory stages = new REVStageConfig[](2);
+        JBSplit[] memory splits = new JBSplit[](1);
+        splits[0].beneficiary = payable(multisig());
+        splits[0].percent = 10_000;
+
+        // Stage 1: high cashOutTaxRate (60%)
+        stages[0] = REVStageConfig({
+            startsAtOrAfter: uint40(block.timestamp),
+            autoIssuances: new REVAutoIssuance[](0),
+            splitPercent: 0,
+            splits: splits,
+            initialIssuance: uint112(1000e18),
+            issuanceCutFrequency: 0,
+            issuanceCutPercent: 0,
+            cashOutTaxRate: 6000, // 60%
+            extraMetadata: 0
+        });
+
+        // Stage 2: low cashOutTaxRate (20%) -- starts after 30 days
+        stages[1] = REVStageConfig({
+            startsAtOrAfter: uint40(block.timestamp + 30 days),
+            autoIssuances: new REVAutoIssuance[](0),
+            splitPercent: 0,
+            splits: splits,
+            initialIssuance: uint112(1000e18),
+            issuanceCutFrequency: 0,
+            issuanceCutPercent: 0,
+            cashOutTaxRate: 2000, // 20%
+            extraMetadata: 0
+        });
+
+        cfg = REVConfig({
+            // forge-lint: disable-next-line(named-struct-fields)
+            description: REVDescription("SandwichTest", "SWT", "ipfs://sandwich", "SWT_SALT"),
+            baseCurrency: uint32(uint160(JBConstants.NATIVE_TOKEN)),
+            splitOperator: multisig(),
+            stageConfigurations: stages
+        });
+
+        sdc = REVSuckerDeploymentConfig({
+            deployerConfigurations: new JBSuckerDeployerConfig[](0), salt: keccak256(abi.encodePacked("SWT"))
+        });
+    }
+
+    function setUp() public override {
+        super.setUp();
+        FEE_PROJECT_ID = jbProjects().createFor(multisig());
+        SUCKER_REGISTRY = new JBSuckerRegistry(jbDirectory(), jbPermissions(), multisig(), address(0));
+        HOOK_STORE = new JB721TiersHookStore();
+        EXAMPLE_HOOK = new JB721TiersHook(
+            jbDirectory(), jbPermissions(), jbPrices(), jbRulesets(), HOOK_STORE, jbSplits(), multisig()
+        );
+        ADDRESS_REGISTRY = new JBAddressRegistry();
+        HOOK_DEPLOYER = new JB721TiersHookDeployer(EXAMPLE_HOOK, HOOK_STORE, ADDRESS_REGISTRY, multisig());
+        PUBLISHER = new CTPublisher(jbDirectory(), jbPermissions(), FEE_PROJECT_ID, multisig());
+        MOCK_BUYBACK = new MockBuybackDataHook();
+        LOANS_CONTRACT = new REVLoans({
+            controller: jbController(),
+            projects: jbProjects(),
+            revId: FEE_PROJECT_ID,
+            owner: address(this),
+            permit2: permit2(),
+            trustedForwarder: TRUSTED_FORWARDER
+        });
+        REV_DEPLOYER = new REVDeployer{salt: REV_DEPLOYER_SALT}(
+            jbController(),
+            SUCKER_REGISTRY,
+            FEE_PROJECT_ID,
+            HOOK_DEPLOYER,
+            PUBLISHER,
+            IJBBuybackHookRegistry(address(MOCK_BUYBACK)),
+            address(LOANS_CONTRACT),
+            TRUSTED_FORWARDER
+        );
+        vm.prank(multisig());
+        jbProjects().approve(address(REV_DEPLOYER), FEE_PROJECT_ID);
+
+        // Deploy the fee project first.
+        (REVConfig memory feeCfg, JBTerminalConfig[] memory feeTc, REVSuckerDeploymentConfig memory feeSdc) =
+            _buildConfig();
+        vm.prank(multisig());
+        REV_DEPLOYER.deployFor({
+            revnetId: FEE_PROJECT_ID,
+            configuration: feeCfg,
+            terminalConfigurations: feeTc,
+            suckerDeploymentConfiguration: feeSdc,
+            tiered721HookConfiguration: REVEmpty721Config.empty721Config(uint32(uint160(JBConstants.NATIVE_TOKEN))),
+            allowedPosts: REVEmpty721Config.emptyAllowedPosts()
+        });
+
+        // Deploy the test revnet.
+        (REVConfig memory cfg, JBTerminalConfig[] memory tc, REVSuckerDeploymentConfig memory sdc) = _buildConfig();
+        // forge-lint: disable-next-line(named-struct-fields)
+        cfg.description = REVDescription("SandwichTest2", "SW2", "ipfs://sandwich2", "SWT_SALT_2");
+        (REVNET_ID,) = REV_DEPLOYER.deployFor({
+            revnetId: 0,
+            configuration: cfg,
+            terminalConfigurations: tc,
+            suckerDeploymentConfiguration: sdc,
+            tiered721HookConfiguration: REVEmpty721Config.empty721Config(uint32(uint160(JBConstants.NATIVE_TOKEN))),
+            allowedPosts: REVEmpty721Config.emptyAllowedPosts()
+        });
+
+        vm.deal(BORROWER, 100 ether);
+        vm.deal(OTHER_PAYER, 100 ether);
+    }
+
+    /// @notice Helper: grant BURN_TOKENS permission to the loans contract for a given account and revnet.
+    function _grantBurnPermission(address account, uint256 revnetId) internal {
+        uint8[] memory permissionIds = new uint8[](1);
+        permissionIds[0] = JBPermissionIds.BURN_TOKENS;
+
+        JBPermissionsData memory permissionsData = JBPermissionsData({
+            // forge-lint: disable-next-line(unsafe-typecast)
+            operator: address(LOANS_CONTRACT),
+            // forge-lint: disable-next-line(unsafe-typecast)
+            projectId: uint56(revnetId),
+            permissionIds: permissionIds
+        });
+
+        vm.prank(account);
+        jbPermissions().setPermissionsFor(account, permissionsData);
+    }
+
+    /// @notice BY DESIGN: A borrower can extract additional value by reallocating collateral immediately after
+    /// a stage transition that lowers the cashOutTaxRate.
+    ///
+    /// The sandwich works as follows:
+    /// 1. Borrower takes a loan in Stage 1 (60% cashOutTaxRate) — collateral is locked at Stage 1's rate
+    /// 2. Time warps past the stage boundary to Stage 2 (20% cashOutTaxRate)
+    /// 3. At Stage 2 rates, the same collateral is worth MORE on the bonding curve, so LESS collateral is
+    ///    needed to support the original loan amount. The borrower frees the excess collateral.
+    /// 4. The freed collateral is used to open a NEW loan at Stage 2 rates — extracting additional funds.
+    /// 5. The borrower now holds TWO loans: the original (with reduced collateral) and a new one (with the
+    ///    freed collateral). The total borrowed across both loans exceeds what was possible at Stage 1.
+    ///
+    /// This is intentional: stage boundaries are immutable and predictable, and loan value tracks
+    /// the current bonding curve parameters. See RISKS.md section 3.
+    function test_reallocationSandwich_extractsValueAtStageBoundary() public {
+        // -- Step 1: Create liquidity from another payer so the bonding curve tax rate has a visible effect.
+        vm.prank(OTHER_PAYER);
+        jbMultiTerminal().pay{value: 10 ether}({
+            projectId: REVNET_ID,
+            token: JBConstants.NATIVE_TOKEN,
+            amount: 10 ether,
+            beneficiary: OTHER_PAYER,
+            minReturnedTokens: 0,
+            memo: "",
+            metadata: ""
+        });
+
+        // -- Step 2: Borrower pays in and receives tokens during Stage 1.
+        vm.prank(BORROWER);
+        uint256 borrowerTokens = jbMultiTerminal().pay{value: 10 ether}({
+            projectId: REVNET_ID,
+            token: JBConstants.NATIVE_TOKEN,
+            amount: 10 ether,
+            beneficiary: BORROWER,
+            minReturnedTokens: 0,
+            memo: "",
+            metadata: ""
+        });
+        assertGt(borrowerTokens, 0, "Borrower should receive tokens");
+
+        // -- Step 3: Grant BURN_TOKENS permission and take a loan during Stage 1.
+        _grantBurnPermission(BORROWER, REVNET_ID);
+
+        REVLoanSource memory source = REVLoanSource({token: JBConstants.NATIVE_TOKEN, terminal: jbMultiTerminal()});
+
+        // Use the minimum prepaid fee (2.5%) so fees don't obscure the comparison.
+        uint256 prepaidFeePercent = LOANS_CONTRACT.MIN_PREPAID_FEE_PERCENT();
+
+        vm.prank(BORROWER);
+        (uint256 stage1LoanId, REVLoan memory stage1Loan) = LOANS_CONTRACT.borrowFrom({
+            revnetId: REVNET_ID,
+            source: source,
+            minBorrowAmount: 0,
+            collateralCount: borrowerTokens,
+            beneficiary: payable(BORROWER),
+            prepaidFeePercent: prepaidFeePercent
+        });
+
+        uint256 stage1BorrowedAmount = stage1Loan.amount;
+        uint256 stage1Collateral = stage1Loan.collateral;
+        assertGt(stage1BorrowedAmount, 0, "Stage 1 loan should have positive borrowed amount");
+        assertEq(stage1Collateral, borrowerTokens, "All tokens should be collateral");
+
+        // Record the borrowable amount for the same collateral count at Stage 1 rates (for comparison).
+        uint256 borrowableStage1 = LOANS_CONTRACT.borrowableAmountFrom(
+            REVNET_ID, borrowerTokens, 18, uint32(uint160(JBConstants.NATIVE_TOKEN))
+        );
+
+        // -- Step 4: Warp past the stage boundary to Stage 2 (lower cashOutTaxRate).
+        vm.warp(block.timestamp + 31 days);
+
+        // Verify borrowable amount increased at Stage 2 rates.
+        uint256 borrowableStage2 = LOANS_CONTRACT.borrowableAmountFrom(
+            REVNET_ID, borrowerTokens, 18, uint32(uint160(JBConstants.NATIVE_TOKEN))
+        );
+        assertGt(borrowableStage2, borrowableStage1, "Borrowable should increase with lower cashOutTaxRate");
+
+        // -- Step 5: Determine how much collateral can be freed.
+        // At Stage 2's lower cashOutTaxRate, less collateral is needed to support the original loan amount.
+        // Use binary search to find the maximum transferable collateral: the largest amount that can be
+        // removed while leaving enough for the remaining collateral to cover the original loan amount.
+        uint256 collateralToTransfer;
+        {
+            uint256 lo = 0;
+            uint256 hi = stage1Collateral;
+            uint256 currency = uint32(uint160(JBConstants.NATIVE_TOKEN));
+            while (lo < hi) {
+                uint256 mid = (lo + hi + 1) / 2;
+                uint256 remaining = stage1Collateral - mid;
+                uint256 borrowable = LOANS_CONTRACT.borrowableAmountFrom(REVNET_ID, remaining, 18, currency);
+                if (borrowable >= stage1BorrowedAmount) {
+                    lo = mid;
+                } else {
+                    hi = mid - 1;
+                }
+            }
+            collateralToTransfer = lo;
+        }
+        assertGt(collateralToTransfer, 0, "Should be able to free some collateral after tax rate decrease");
+
+        // Verify that the remaining collateral at Stage 2 rates supports the original loan amount.
+        uint256 borrowableWithRemaining = LOANS_CONTRACT.borrowableAmountFrom(
+            REVNET_ID, stage1Collateral - collateralToTransfer, 18, uint32(uint160(JBConstants.NATIVE_TOKEN))
+        );
+        assertGe(
+            borrowableWithRemaining,
+            stage1BorrowedAmount,
+            "Remaining collateral should cover original loan at Stage 2 rates"
+        );
+
+        // -- Step 6: Borrower reallocates collateral from the Stage 1 loan to extract the increased value.
+        // Transfer half the collateral from the old loan. The remaining half still covers the original
+        // loan amount at Stage 2's improved rates. The freed collateral goes into a new loan.
+        vm.prank(BORROWER);
+        (
+            , // reallocatedLoanId
+            , // newLoanId
+            REVLoan memory reallocatedLoan,
+            REVLoan memory newLoan
+        ) = LOANS_CONTRACT.reallocateCollateralFromLoan({
+            loanId: stage1LoanId,
+            collateralCountToTransfer: collateralToTransfer,
+            source: source,
+            minBorrowAmount: 0,
+            collateralCountToAdd: 0,
+            beneficiary: payable(BORROWER),
+            prepaidFeePercent: prepaidFeePercent
+        });
+
+        // -- Step 7: Verify the sandwich extracted additional value.
+
+        // The reallocated loan retains the original borrowed amount with reduced collateral.
+        assertEq(reallocatedLoan.amount, stage1BorrowedAmount, "Reallocated loan should keep original amount");
+        assertEq(
+            reallocatedLoan.collateral,
+            stage1Collateral - collateralToTransfer,
+            "Reallocated loan should have reduced collateral"
+        );
+
+        // The new loan was created from the freed collateral at Stage 2 rates.
+        uint256 newBorrowedAmount = newLoan.amount;
+        assertGt(newBorrowedAmount, 0, "New loan should have positive borrowed amount");
+        assertEq(newLoan.collateral, collateralToTransfer, "New loan should hold the transferred collateral");
+
+        // The total borrowed across both loans exceeds the original Stage 1 borrowed amount.
+        // This is the sandwich profit: the borrower extracted additional value from the same total collateral.
+        uint256 totalBorrowedAfterSandwich = uint256(reallocatedLoan.amount) + uint256(newLoan.amount);
+        assertGt(
+            totalBorrowedAfterSandwich,
+            stage1BorrowedAmount,
+            "Total borrowed after sandwich should exceed original Stage 1 amount"
+        );
+
+        // Quantify the extracted delta.
+        uint256 extractedDelta = totalBorrowedAfterSandwich - stage1BorrowedAmount;
+        assertGt(extractedDelta, 0, "Extracted delta should be positive");
+
+        // Log the sandwich economics for visibility.
+        emit log_named_uint("Stage 1 borrowed amount", stage1BorrowedAmount);
+        emit log_named_uint("Reallocated loan amount (unchanged)", reallocatedLoan.amount);
+        emit log_named_uint("New loan amount (from freed collateral)", newBorrowedAmount);
+        emit log_named_uint("Total borrowed after sandwich", totalBorrowedAfterSandwich);
+        emit log_named_uint("Extracted delta (sandwich profit)", extractedDelta);
+        emit log_named_uint("Borrowable at Stage 1 rates (full collateral)", borrowableStage1);
+        emit log_named_uint("Borrowable at Stage 2 rates (full collateral)", borrowableStage2);
+    }
+}