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EPIC: Add full validations #7

Open
Tracked by #84
maurolacy opened this issue Jul 31, 2024 · 1 comment
Open
Tracked by #84

EPIC: Add full validations #7

maurolacy opened this issue Jul 31, 2024 · 1 comment
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bug Something isn't working integration-readiness

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@maurolacy
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@maurolacy cloned issue babylonchain/babylon-contract#84 on 2024-05-03:

After basic validations (#82), let's complete the validation logic after the original Go code.

Related to #82. Also, likely requires #76.

@SebastianElvis SebastianElvis self-assigned this Aug 23, 2024
@SebastianElvis SebastianElvis added the bug Something isn't working label Aug 26, 2024
SebastianElvis added a commit that referenced this issue Sep 5, 2024
…46)

First step of #7 

This PR adds verification on the relationship between staking/slashing
tx in staking requests using
`babylon_btcstaking::tx_verify::check_transactions`. This also involves
further refactoring of datagen library, and a bug fix in taproot pk
script generation where we mistakenly used secp256k1 FFI that bloats
contract size.

NOTE: this PR still results in a wasm contract slightly bigger than the
standard 800 KB. There are two ways to go ahead before optimisation is
in place:

1. merge it into a feature branch for full validation for now, optimise
in subsequent PRs, or
2. merge it into `main`, but before that add a Rust feature to allow to
enable/disable the full validation

I'm inclined to 2 but open to other ideas cc @maurolacy @gusin13 

---

TODOs before ready:

- [x] fixing size of BTC staking contract (current it's 1.9MB)
- [x] making all tests use corresponding parameters in
[datagen](https://github.com/babylonlabs-io/babylon-contract/blob/647b1f4f16a8b37f3d5a11a543cdb093f2d7d830/datagen/utils/btcstaking.go)
@SebastianElvis
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SebastianElvis commented Sep 5, 2024

After #46 and #56, most of the reality checks are done (feature flag for lite/full version, correctness of BTC staking library, etc..).

The following includes the missing verification rules. Those will be picked up later.

Finality provider registration request

  • Verify PoP

BTC delegation request

  • Ensure staking tx is included the BTC light client
  • Ensure staking tx is k-deep
  • Ensure staking tx timelock has more than w BTC blocks left
  • Verify PoP
  • Verify covenant signatures over slashing tx
  • Ensure unbonding time is max(min_unbonding_time, w)
  • Ensure unbonding tx is spending the given staking tx
  • Ensure consistency bweteen unbonding tx and unbonding slashing tx
  • Verify staker's signature over slashing path of unbonding tx
  • Verify covenant signatures over unbonding slashing tx
  • Ensure unbonding tx fee is not too low

BTC undelegation request

  • Ensure BTC delegation is active
  • Verify staker's signature over the unbonding tx

Slashed BTC delegation

  • Ensure BTC delegation is active
  • Ensure the SK corresponds to a FP PK that the delegation restakes to

SebastianElvis added a commit that referenced this issue Sep 9, 2024
Part of #7 

This PR adds verifications on staker's signature over the slashing tx in
BTC delegation requests. This includes:

- replacing rust secp256k1 with k256 for verifying Schnorr signatures
and key pairs. This prevents bloating wasm binary size
- adding an assertion ensuring the full validation version of btc
staking contract is less than 1 MB. This checks whether rust-bitcoin
stuff bloats the contract size or not.
- verifying staker's Schnorr signature over its slashing tx in
`handle_btc_delegation` (the version with `full-validation` feature)
- fixing `datagen` to use 1st FP's secret key for generating pub rand
commit and finality sig
SebastianElvis added a commit that referenced this issue Sep 9, 2024
@SebastianElvis SebastianElvis changed the title Add full validations EPIC: Add full validations Sep 9, 2024
SebastianElvis added a commit that referenced this issue Sep 16, 2024
Part of #7 

This PR implements the full validation of unbonded/slashed BTC
delegations.
SebastianElvis added a commit that referenced this issue Sep 16, 2024
Part of #7 

This PR adds more verification rules to a newly active BTC delegation:

- ensure that all covenant signatures over {slashing, unbonding,
unbonding slashing} txs are valid
- ensure that the unbonding tx is spending the staking tx
- ensure that the unbonding tx and unbonding slashing tx are consistent
@SebastianElvis SebastianElvis removed their assignment Sep 25, 2024
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