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Add slashing tests #109

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merged 17 commits into from
Nov 22, 2023
Merged

Add slashing tests #109

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2cf4169
Add (failing) slashing (scenario 1) test
maurolacy Nov 15, 2023
79f12ea
Add question mark
maurolacy Nov 15, 2023
5d8aa2d
Manually set slash ratios to 10%
maurolacy Nov 16, 2023
feef371
Better (still failing) slashing test flow
maurolacy Nov 16, 2023
820e63b
Fix: External staking max slashin param
maurolacy Nov 16, 2023
cd23a86
Disable broken assertions
maurolacy Nov 16, 2023
29c0a46
Adapt valset tests to new slash ratios
maurolacy Nov 16, 2023
00f7ab2
Add collateral checks
maurolacy Nov 17, 2023
76525ee
Add max lien and total slashable checks
maurolacy Nov 17, 2023
2666055
Add slashing scenario 2 test
maurolacy Nov 17, 2023
b7532a9
Add scenario 3 test
maurolacy Nov 17, 2023
b839893
Add FIXMEs
maurolacy Nov 17, 2023
5be7c82
Fix: jailValidator helper power
maurolacy Nov 18, 2023
60d11ce
Fix: Proper slashed amounts
maurolacy Nov 18, 2023
84f33b4
Remove FIXMEs
maurolacy Nov 18, 2023
4e67cd9
Remove FIXMEs / Adjust comments
maurolacy Nov 22, 2023
5b6af5a
Remove commented code
maurolacy Nov 22, 2023
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5 changes: 4 additions & 1 deletion demo/app/test_helpers.go
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Original file line number Diff line number Diff line change
Expand Up @@ -378,7 +378,10 @@ func GenesisStateWithValSet(
ValidatorSigningInfo: slashingtypes.ValidatorSigningInfo{},
}
}
slashingGenesis := slashingtypes.NewGenesisState(slashingtypes.DefaultParams(), signingInfos, nil)
slashingParams := slashingtypes.DefaultParams()
slashingParams.SlashFractionDowntime = math.LegacyNewDec(1).Quo(math.LegacyNewDec(10))
slashingParams.SlashFractionDoubleSign = math.LegacyNewDec(1).Quo(math.LegacyNewDec(10))
slashingGenesis := slashingtypes.NewGenesisState(slashingParams, signingInfos, nil)
genesisState[slashingtypes.ModuleName] = codec.MustMarshalJSON(slashingGenesis)

// add bonded amount to bonded pool module account
Expand Down
288 changes: 288 additions & 0 deletions tests/e2e/slashing_test.go
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Original file line number Diff line number Diff line change
@@ -0,0 +1,288 @@
package e2e

import (
"cosmossdk.io/math"
"encoding/base64"
"fmt"
sdk "github.com/cosmos/cosmos-sdk/types"
"github.com/stretchr/testify/assert"
"github.com/stretchr/testify/require"
"testing"
)

func TestSlashingScenario1(t *testing.T) {
// Slashing scenario 1:
// https://github.com/osmosis-labs/mesh-security/blob/main/docs/ibc/Slashing.md#scenario-1-slashed-delegator-has-free-collateral-on-the-vault
//
// - We use millions instead of unit tokens.
x := setupExampleChains(t)
//consumerCli, consumerContracts, providerCli := setupMeshSecurity(t, x)
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consumerCli, _, providerCli := setupMeshSecurity(t, x)

// Provider chain
// ==============
// Deposit - A user deposits the vault denom to provide some collateral to their account
execMsg := `{"bond":{}}`
providerCli.MustExecVault(execMsg, sdk.NewInt64Coin(x.ProviderDenom, 200_000_000))

// Stake Locally - A user triggers a local staking action to a chosen validator.
myLocalValidatorAddr := sdk.ValAddress(x.ProviderChain.Vals.Validators[0].Address).String()
execLocalStakingMsg := fmt.Sprintf(`{"stake_local":{"amount": {"denom":%q, "amount":"%d"}, "msg":%q}}`,
x.ProviderDenom, 190_000_000,
base64.StdEncoding.EncodeToString([]byte(fmt.Sprintf(`{"validator": "%s"}`, myLocalValidatorAddr))))
providerCli.MustExecVault(execLocalStakingMsg)

assert.Equal(t, 10_000_000, providerCli.QueryVaultFreeBalance())

// Cross Stake - A user pulls out additional liens on the same collateral "cross staking" it on different chains.
myExtValidator1 := sdk.ValAddress(x.ConsumerChain.Vals.Validators[1].Address)
myExtValidator1Addr := myExtValidator1.String()
err := providerCli.ExecStakeRemote(myExtValidator1Addr, sdk.NewInt64Coin(x.ProviderDenom, 100_000_000))
require.NoError(t, err)
myExtValidator2 := sdk.ValAddress(x.ConsumerChain.Vals.Validators[2].Address)
myExtValidator2Addr := myExtValidator2.String()
err = providerCli.ExecStakeRemote(myExtValidator2Addr, sdk.NewInt64Coin(x.ProviderDenom, 50_000_000))
require.NoError(t, err)

require.NoError(t, x.Coordinator.RelayAndAckPendingPackets(x.IbcPath))

// Check collateral
require.Equal(t, 200_000_000, providerCli.QueryVaultBalance())
// Check max lien
require.Equal(t, 190_000_000, providerCli.QueryMaxLien())
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As below, i was expecting only 90% of the staked amount as max lien

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Same explanation as before. This check is pre-slashing, in fact. It's there so that we can see that the amounts don't change after slashing.

// Check slashable amount
require.Equal(t, 34_000_000, providerCli.QuerySlashableAmount())
// Check free collateral
require.Equal(t, 10_000_000, providerCli.QueryVaultFreeBalance()) // 200 - max(34, 190) = 200 - 190 = 10

// Consumer chain
// ====================
//
// then delegated amount is not updated before the epoch
consumerCli.assertTotalDelegated(math.ZeroInt()) // ensure nothing cross staked yet

// when an epoch ends, the delegation rebalance is triggered
consumerCli.ExecNewEpoch()

// then the total delegated amount is updated
consumerCli.assertTotalDelegated(math.NewInt(67_500_000)) // 150_000_000 / 2 * (1 - 0.1)

// and the delegated amount is updated for the validators
consumerCli.assertShare(myExtValidator1, math.LegacyMustNewDecFromStr("45")) // 100_000_000 / 2 * (1 - 0.1) / 1_000_000 # default sdk factor
consumerCli.assertShare(myExtValidator2, math.LegacyMustNewDecFromStr("22.5")) // 50_000_000 / 2 * (1 - 0.1) / 1_000_000 # default sdk factor

ctx := x.ConsumerChain.GetContext()
validator1, found := x.ConsumerApp.StakingKeeper.GetValidator(ctx, myExtValidator1)
require.True(t, found)
require.False(t, validator1.IsJailed())
// FIXME? Off by 1_000_000
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require.Equal(t, validator1.GetTokens(), sdk.NewInt(46_000_000))
validator2, found := x.ConsumerApp.StakingKeeper.GetValidator(ctx, myExtValidator2)
require.True(t, found)
require.False(t, validator2.IsJailed())
// FIXME? Off by 1_000_000
require.Equal(t, validator2.GetTokens(), sdk.NewInt(23_500_000))

// Validator 1 on the Consumer chain is jailed
myExtValidator1ConsAddr := sdk.ConsAddress(x.ConsumerChain.Vals.Validators[1].PubKey.Address())
jailValidator(t, myExtValidator1ConsAddr, x.Coordinator, x.ConsumerChain, x.ConsumerApp)

x.ConsumerChain.NextBlock()

// Assert that the validator's stake has been slashed
// and that the validator has been jailed
validator1, found = x.ConsumerApp.StakingKeeper.GetValidator(ctx, myExtValidator1)
require.True(t, validator1.IsJailed())
require.Equal(t, validator1.GetTokens(), sdk.NewInt(41_400_000)) // 10% slash

// Relay IBC packets to the Provider chain
require.NoError(t, x.Coordinator.RelayAndAckPendingPackets(x.IbcPath))

// Next block on the Provider chain
x.ProviderChain.NextBlock()

// Check new collateral
require.Equal(t, 190_000_000, providerCli.QueryVaultBalance())
// Check new max lien
require.Equal(t, 190_000_000, providerCli.QueryMaxLien())
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Can you elaborate how the max lien is calculated? Now that the free amount is consumed, I was expecting the max lien to be 190_000_000 * 0.9 to take the local slashing factor into account

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In this scenario there was free collateral to be slashed.

The max lien is the max of all the liens, and as long as it remains below the collateral (free collateral >= 0), it doesn't need to change.

// Check new slashable amount
require.Equal(t, 33_000_000, providerCli.QuerySlashableAmount())
// Check new free collateral
require.Equal(t, 0, providerCli.QueryVaultFreeBalance()) // 190 - max(33, 190) = 190 - 190 = 0
}

func TestSlashingScenario2(t *testing.T) {
// Slashing scenario 2:
// https://github.com/osmosis-labs/mesh-security/blob/main/docs/ibc/Slashing.md#scenario-2-slashed-delegator-has-no-free-collateral-on-the-vault
//
// - We use millions instead of unit tokens.
x := setupExampleChains(t)
//consumerCli, consumerContracts, providerCli := setupMeshSecurity(t, x)
consumerCli, _, providerCli := setupMeshSecurity(t, x)

// Provider chain
// ==============
// Deposit - A user deposits the vault denom to provide some collateral to their account
execMsg := `{"bond":{}}`
providerCli.MustExecVault(execMsg, sdk.NewInt64Coin(x.ProviderDenom, 200_000_000))

// Stake Locally - A user triggers a local staking action to a chosen validator.
myLocalValidatorAddr := sdk.ValAddress(x.ProviderChain.Vals.Validators[0].Address).String()
execLocalStakingMsg := fmt.Sprintf(`{"stake_local":{"amount": {"denom":%q, "amount":"%d"}, "msg":%q}}`,
x.ProviderDenom, 200_000_000,
base64.StdEncoding.EncodeToString([]byte(fmt.Sprintf(`{"validator": "%s"}`, myLocalValidatorAddr))))
providerCli.MustExecVault(execLocalStakingMsg)

// Cross Stake - A user pulls out additional liens on the same collateral "cross staking" it on different chains.
myExtValidator1 := sdk.ValAddress(x.ConsumerChain.Vals.Validators[1].Address)
myExtValidator1Addr := myExtValidator1.String()
err := providerCli.ExecStakeRemote(myExtValidator1Addr, sdk.NewInt64Coin(x.ProviderDenom, 200_000_000))
require.NoError(t, err)

require.NoError(t, x.Coordinator.RelayAndAckPendingPackets(x.IbcPath))

// Check collateral
require.Equal(t, 200_000_000, providerCli.QueryVaultBalance())
// Check max lien
require.Equal(t, 200_000_000, providerCli.QueryMaxLien())
// Check slashable amount
require.Equal(t, 40_000_000, providerCli.QuerySlashableAmount())
// Check free collateral
require.Equal(t, 0, providerCli.QueryVaultFreeBalance()) // 200 - max(40, 200) = 200 - 200 = 0

// Consumer chain
// ====================
//
// then delegated amount is not updated before the epoch
consumerCli.assertTotalDelegated(math.ZeroInt()) // ensure nothing cross staked yet

// when an epoch ends, the delegation rebalance is triggered
consumerCli.ExecNewEpoch()

// then the total delegated amount is updated
consumerCli.assertTotalDelegated(math.NewInt(90_000_000)) // 200_000_000 / 2 * (1 - 0.1)

// and the delegated amount is updated for the validators
consumerCli.assertShare(myExtValidator1, math.LegacyMustNewDecFromStr("90")) // 200_000_000 / 2 * (1 - 0.1) / 1_000_000 # default sdk factor

ctx := x.ConsumerChain.GetContext()
validator1, found := x.ConsumerApp.StakingKeeper.GetValidator(ctx, myExtValidator1)
require.True(t, found)
require.False(t, validator1.IsJailed())
require.Equal(t, validator1.GetTokens(), sdk.NewInt(91_000_000))

// Validator 1 on the Consumer chain is jailed
myExtValidator1ConsAddr := sdk.ConsAddress(x.ConsumerChain.Vals.Validators[1].PubKey.Address())
jailValidator(t, myExtValidator1ConsAddr, x.Coordinator, x.ConsumerChain, x.ConsumerApp)

x.ConsumerChain.NextBlock()

// Assert that the validator's stake has been slashed
// and that the validator has been jailed
validator1, found = x.ConsumerApp.StakingKeeper.GetValidator(ctx, myExtValidator1)
require.True(t, validator1.IsJailed())
require.Equal(t, validator1.GetTokens(), sdk.NewInt(81_900_000)) // 10% slash

// Relay IBC packets to the Provider chain
require.NoError(t, x.Coordinator.RelayAndAckPendingPackets(x.IbcPath))

// Next block on the Provider chain
x.ProviderChain.NextBlock()

// Check new collateral
require.Equal(t, 180_000_000, providerCli.QueryVaultBalance())
// Check new max lien
require.Equal(t, 180_000_000, providerCli.QueryMaxLien())
// Check new slashable amount
require.Equal(t, 36_000_000, providerCli.QuerySlashableAmount())
// Check new free collateral
require.Equal(t, 0, providerCli.QueryVaultFreeBalance()) // 190 - max(36, 190) = 190 - 190 = 0
}

func TestSlashingScenario3(t *testing.T) {
// Slashing scenario 3:
// https://github.com/osmosis-labs/mesh-security/blob/main/docs/ibc/Slashing.md#scenario-3-slashed-delegator-has-some-free-collateral-on-the-vault
//
// - We use millions instead of unit tokens.
x := setupExampleChains(t)
//consumerCli, consumerContracts, providerCli := setupMeshSecurity(t, x)
consumerCli, _, providerCli := setupMeshSecurity(t, x)

// Provider chain
// ==============
// Deposit - A user deposits the vault denom to provide some collateral to their account
execMsg := `{"bond":{}}`
providerCli.MustExecVault(execMsg, sdk.NewInt64Coin(x.ProviderDenom, 200_000_000))

// Stake Locally - A user triggers a local staking action to a chosen validator.
myLocalValidatorAddr := sdk.ValAddress(x.ProviderChain.Vals.Validators[0].Address).String()
execLocalStakingMsg := fmt.Sprintf(`{"stake_local":{"amount": {"denom":%q, "amount":"%d"}, "msg":%q}}`,
x.ProviderDenom, 190_000_000,
base64.StdEncoding.EncodeToString([]byte(fmt.Sprintf(`{"validator": "%s"}`, myLocalValidatorAddr))))
providerCli.MustExecVault(execLocalStakingMsg)

// Cross Stake - A user pulls out additional liens on the same collateral "cross staking" it on different chains.
myExtValidator1 := sdk.ValAddress(x.ConsumerChain.Vals.Validators[1].Address)
myExtValidator1Addr := myExtValidator1.String()
err := providerCli.ExecStakeRemote(myExtValidator1Addr, sdk.NewInt64Coin(x.ProviderDenom, 150_000_000))
require.NoError(t, err)

require.NoError(t, x.Coordinator.RelayAndAckPendingPackets(x.IbcPath))

// Check collateral
require.Equal(t, 200_000_000, providerCli.QueryVaultBalance())
// Check max lien
require.Equal(t, 190_000_000, providerCli.QueryMaxLien())
// Check slashable amount
require.Equal(t, 34_000_000, providerCli.QuerySlashableAmount())
// Check free collateral
require.Equal(t, 10_000_000, providerCli.QueryVaultFreeBalance()) // 200 - max(34, 190) = 200 - 190 = 10

// Consumer chain
// ====================
//
// then delegated amount is not updated before the epoch
consumerCli.assertTotalDelegated(math.ZeroInt()) // ensure nothing cross staked yet

// when an epoch ends, the delegation rebalance is triggered
consumerCli.ExecNewEpoch()

// then the total delegated amount is updated
consumerCli.assertTotalDelegated(math.NewInt(67_500_000)) // 150_000_000 / 2 * (1 - 0.1)

// and the delegated amount is updated for the validators
consumerCli.assertShare(myExtValidator1, math.LegacyMustNewDecFromStr("67.5")) // 150_000_000 / 2 * (1 - 0.1) / 1_000_000 # default sdk factor

ctx := x.ConsumerChain.GetContext()
validator1, found := x.ConsumerApp.StakingKeeper.GetValidator(ctx, myExtValidator1)
require.True(t, found)
require.False(t, validator1.IsJailed())
require.Equal(t, validator1.GetTokens(), sdk.NewInt(68_500_000))

// Validator 1 on the Consumer chain is jailed
myExtValidator1ConsAddr := sdk.ConsAddress(x.ConsumerChain.Vals.Validators[1].PubKey.Address())
jailValidator(t, myExtValidator1ConsAddr, x.Coordinator, x.ConsumerChain, x.ConsumerApp)

x.ConsumerChain.NextBlock()

// Assert that the validator's stake has been slashed
// and that the validator has been jailed
validator1, found = x.ConsumerApp.StakingKeeper.GetValidator(ctx, myExtValidator1)
require.True(t, validator1.IsJailed())
require.Equal(t, validator1.GetTokens(), sdk.NewInt(61_700_000)) // 10% slash (plus 50_000 rounding)

// Relay IBC packets to the Provider chain
require.NoError(t, x.Coordinator.RelayAndAckPendingPackets(x.IbcPath))

// Next block on the Provider chain
x.ProviderChain.NextBlock()

// Check new collateral
require.Equal(t, 185_000_000, providerCli.QueryVaultBalance())
// Check new max lien
require.Equal(t, 185_000_000, providerCli.QueryMaxLien())
// Check new slashable amount
require.Equal(t, 32_000_000, providerCli.QuerySlashableAmount())
// Check new free collateral
require.Equal(t, 0, providerCli.QueryVaultFreeBalance()) // 185 - max(32, 185) = 185 - 185 = 0
}
28 changes: 27 additions & 1 deletion tests/e2e/test_client.go
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Original file line number Diff line number Diff line change
Expand Up @@ -82,7 +82,7 @@ func (p *TestProviderClient) BootstrapContracts(connId, portID string) ProviderC
var (
unbondingPeriod = 21 * 24 * 60 * 60 // 21 days - make configurable?
maxLocalSlashing = "0.10"
maxExtSlashing = "0.05"
maxExtSlashing = "0.10"
rewardTokenDenom = sdk.DefaultBondDenom
localTokenDenom = sdk.DefaultBondDenom
)
Expand Down Expand Up @@ -196,6 +196,32 @@ func (p TestProviderClient) QueryVaultFreeBalance() int {
return ParseHighLow(p.t, qRsp["free"]).Low
}

func (p TestProviderClient) QueryVaultBalance() int {
qRsp := p.QueryVault(Query{
"account_details": {"account": p.chain.SenderAccount.GetAddress().String()},
})
require.NotEmpty(p.t, qRsp["bonded"], qRsp)
b, err := strconv.Atoi(qRsp["bonded"].(string))
require.NoError(p.t, err)
return b
}

func (p TestProviderClient) QueryMaxLien() int {
qRsp := p.QueryVault(Query{
"account_details": {"account": p.chain.SenderAccount.GetAddress().String()},
})
require.NotEmpty(p.t, qRsp["max_lien"], qRsp)
return ParseHighLow(p.t, qRsp["max_lien"]).Low
}

func (p TestProviderClient) QuerySlashableAmount() int {
qRsp := p.QueryVault(Query{
"account_details": {"account": p.chain.SenderAccount.GetAddress().String()},
})
require.NotEmpty(p.t, qRsp["total_slashable"], qRsp)
return ParseHighLow(p.t, qRsp["total_slashable"]).Low
}

type TestConsumerClient struct {
t *testing.T
chain *ibctesting.TestChain
Expand Down
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