Merge pull request #10 from GenerationSoftware/pierrick/gen-261-c4-is…

…sue-307

feat(withdraw): add yield liquidated test (c4-issue-307)

src/Vault.sol

@@ -1167,8 +1167,8 @@ contract Vault is ERC4626, ERC20Permit, ILiquidationSource, Ownable {
   /**
    * @notice Calculate exchange rate between the amount of assets withdrawable from the YieldVault
    *         and the amount of shares minted by this Vault.
-   * @dev We exclude the amount of yield generated by the YieldVault, so user can only withdraw their share of deposits.
-   *      Except when the vault is undercollateralized, in this case, any unclaim yield fee is included in the calculation.
+   * @dev We exclude the amount of yield generated by the YieldVault, so users can only withdraw their share of deposits.
+   *      Except when the vault is undercollateralized, in this case, any unclaimed yield is included in the calculation.
    * @dev We start with an exchange rate of 1 which is equal to 1 underlying asset unit.
    * @return uint256 Exchange rate
    */
@@ -1182,6 +1182,8 @@ contract Vault is ERC4626, ERC20Permit, ILiquidationSource, Ownable {
 
     uint256 _withdrawableAssets = _yieldVault.maxWithdraw(address(this));
 
+    // If the Vault is collateralized, we exclude the yield from the calculation
+    // so users can only withdraw their share of deposits.
     if (_withdrawableAssets > _totalSupplyToAssets) {
       _withdrawableAssets = _withdrawableAssets - (_withdrawableAssets - _totalSupplyToAssets);
     }

test/unit/Vault/Undercollateralization.t.sol

@@ -207,17 +207,21 @@ contract VaultUndercollateralizationTest is UnitBaseSetup {
     assertEq(vault.availableYieldBalance(), 0);
     assertEq(vault.availableYieldFeeBalance(), 0);
 
+    // We burn underlying assets from the YieldVault to trigger the undercollateralization
     underlyingAsset.burn(address(yieldVault), 10_000_000e18);
 
     assertEq(vault.isVaultCollateralized(), false);
 
     uint256 _yieldFeeShares = vault.yieldFeeTotalSupply();
 
+    // The Vault is now undercollateralized so we can't mint the yield fee
     vm.expectRevert(abi.encodeWithSelector(VaultUnderCollateralized.selector));
     vault.mintYieldFee(_yieldFeeShares);
 
     vm.startPrank(bob);
 
+    // We lose in precision because the Vault is undercollateralized
+    // and the exchange rate is below 1e18 and rounded down
     _bobAmount = _getMaxWithdraw(bob, vault, yieldVault);
     assertApproxEqAbs(vault.maxWithdraw(bob), _bobAmount, 2382812);
 
@@ -241,6 +245,8 @@ contract VaultUndercollateralizationTest is UnitBaseSetup {
 
     vault.withdraw(vault.maxWithdraw(address(this)), address(this), address(this));
     assertApproxEqAbs(underlyingAsset.balanceOf(address(this)), _thisAmount, 280000);
+
     assertEq(vault.totalSupply(), 0);
+    assertApproxEqAbs(underlyingAsset.balanceOf(address(yieldVault)), 0, 280000);
   }
 }

test/unit/Vault/Withdraw.t.sol

@@ -125,6 +125,93 @@ contract VaultWithdrawTest is UnitBaseSetup {
     vm.stopPrank();
   }
 
+  function testWithdrawFullAmountYieldLiquidated() external {
+    _setLiquidationPair();
+
+    vault.setYieldFeePercentage(YIELD_FEE_PERCENTAGE);
+
+    uint256 _aliceAmount = 1000e18;
+    underlyingAsset.mint(alice, _aliceAmount);
+
+    vm.startPrank(alice);
+
+    _deposit(underlyingAsset, vault, _aliceAmount, alice);
+
+    vm.stopPrank();
+
+    uint256 _yield = 10e18;
+    _accrueYield(underlyingAsset, yieldVault, _yield);
+
+    vm.startPrank(bob);
+
+    prizeToken.mint(bob, type(uint256).max);
+
+    // We liquidate the accrued yield
+    uint256 _liquidatedYield = vault.liquidatableBalanceOf(address(vault));
+
+    (uint256 _bobPrizeTokenBalanceBefore, uint256 _prizeTokenContributed) = _liquidate(
+      liquidationRouter,
+      liquidationPair,
+      prizeToken,
+      _liquidatedYield,
+      bob
+    );
+
+    assertEq(prizeToken.balanceOf(address(prizePool)), _prizeTokenContributed);
+    assertEq(prizeToken.balanceOf(bob), _bobPrizeTokenBalanceBefore - _prizeTokenContributed);
+
+    uint256 _yieldFeeShares = _getYieldFeeShares(_liquidatedYield, YIELD_FEE_PERCENTAGE);
+    uint256 _bobAmount = _yield - _yieldFeeShares;
+
+    // Bob now owns 9e18 Vault shares
+    assertEq(vault.balanceOf(bob), _yield - _yieldFeeShares);
+
+    // 1e18 have been allocated as yield fee
+    assertEq(vault.yieldFeeTotalSupply(), _yieldFeeShares);
+    assertEq(_yield, _liquidatedYield + _yieldFeeShares);
+
+    vm.stopPrank();
+
+    // The Vault is still collateralized, so users can withdraw their full deposit
+    assertEq(vault.maxWithdraw(bob), _bobAmount);
+    assertEq(vault.maxWithdraw(alice), _aliceAmount);
+
+    // We burn the accrued yield to set the Vault in an undercollateralized state
+    underlyingAsset.burn(address(yieldVault), _yield);
+
+    assertLt(vault.exchangeRate(), 1e18);
+
+    // The Vault is now undercollateralized, so users can withdraw their share of the deposits
+    // any unclaimed yield fee goes proportionally to each user
+
+    // We lose a bit of precision due to the exchange rate being below 1e18 and rounded down
+    assertApproxEqAbs(vault.maxWithdraw(bob), _getMaxWithdraw(bob, vault, yieldVault), 6);
+    assertApproxEqAbs(vault.maxWithdraw(alice), _getMaxWithdraw(alice, vault, yieldVault), 693);
+
+    vm.startPrank(alice);
+
+    uint256 _aliceWithdrawableAmount = vault.maxWithdraw(alice);
+    vault.withdraw(_aliceWithdrawableAmount, alice, alice);
+
+    assertEq(vault.balanceOf(alice), 0);
+    assertEq(underlyingAsset.balanceOf(alice), _aliceWithdrawableAmount);
+
+    vm.stopPrank();
+
+    vm.startPrank(bob);
+
+    uint256 _bobWithdrawableAmount = vault.maxWithdraw(bob);
+    vault.withdraw(_bobWithdrawableAmount, bob, bob);
+
+    assertEq(vault.balanceOf(bob), 0);
+    assertEq(underlyingAsset.balanceOf(bob), _bobWithdrawableAmount);
+
+    assertEq(vault.totalSupply(), 0);
+    assertApproxEqAbs(underlyingAsset.balanceOf(address(yieldVault)), 0, 7);
+
+    vm.stopPrank();
+  }
+
   function testWithdrawOnBehalf() external {
     uint256 _amount = 1000e18;
     underlyingAsset.mint(bob, _amount);

test/utils/Helpers.t.sol

@@ -72,7 +72,7 @@ contract Helpers is Test {
     return _vault.depositWithPermit(_assets, _user, block.timestamp, _v, _r, _s);
   }
 
-  /* ============ Deposit ============ */
+  /* ============ Mint ============ */
   function _mint(
     IERC20 _underlyingAsset,
     Vault _vault,