[MIP-18] Code4rena Audit: Expanded Scope and Increased Budget

Introduction

Code4rena is a leading platform for conducting bug bounty contests focused on smart contract projects. With a history of successful audits for numerous prominent DeFi projects, Code4rena is currently experiencing peak participation levels, attracting 70-100+ wardens per contest. These contests generally identify 3-5 medium to high severity bugs, outperforming traditional audits in terms of effectiveness.

Links:

• twitter: https://twitter.com/code4rena
• website: https://code4rena.com/
• link tree: https://bio.link/code4rena

Expanded Scope

The revised scope of our protocol encompasses an estimated 11k source lines of code (SLOC), including our Unified Liquidity Solution (pools, factory, and router), the voting and gauge system (bHERMES, vMaia), our UniswapV3Staker, Crosschain token Management, and Talos. For a comprehensive audit of our protocol, Code4rena auditors will require expertise in Uniswap V3, Anycall, and Optimistic Rollups, particularly Arbitrum.

Updated Proposal

Code4rena had previously informed us of a planned rate increase at the end of last year. However, they agreed to maintain current rates if we committed to and scheduled audits before the change took effect. Considering the expanded scope of our protocol, we submitted an updated form to Code4rena, and they have proposed the following award pool size:

• $344,000 USDC total cost
• Incorporating a $265k award pool

We have already deposited $50,500 USDC, leaving an outstanding balance of $293,500 USDC.

The updated proposal encompasses triage, which involves categorizing submissions from wardens. The contest is slated for late May, with a three-week duration.

To further motivate wardens, we have the option to:

• Increase the primary competition pool to a fixed amount such as $300k. (original is 265k)
• Organize a concurrent MIT review competition alongside the open competition. Typically, the top three wardens from the open competition would be invited to participate in the MIT review. This enables us to promote a larger overall pool, maximizing participation. To qualify for the MIT review, wardens must perform well in the open competition. The MIT review cost is approximately half of the competition pool, or $132.5k in this case.

Conclusion

We firmly believe that the extended scope and increased budget for the Code4rena audit of our protocol are essential for guaranteeing its security and dependability. We have complete confidence in Code4rena's capacity to conduct a thorough and effective audit and eagerly anticipate collaborating with them. Furthermore, we trust that the additional options will effectively incentivize wardens and optimize participation in the audit process.

Options

1. Boost Primary Competition Pool
   • Budget: $328,500 USDC
2. Organize MIT review competition
   • Budget: $426,000 USDC
3. Only host main contest
   • Budget: $293,500 USDC
4. Nay:
   • This proposal needs further discussion.