If you notice some outdated information please let us know!
Process Quality Review (0.8)
Alchemix
PASS
Security Incidents
Scoring Appendix
The final review score is indicated as a percentage. The percentage is calculated as Achieved Points due to MAX Possible Points. For each element the answer can be either Yes/No or a percentage. For a detailed breakdown of the individual weights of each question, please consult this document.
Very simply, the audit looks for the following declarations from the developer's site. With these declarations, it is reasonable to trust the smart contracts.
- Here is my smart contract on the blockchain
- You can see it matches a software repository used to develop the code
- Here is the documentation that explains what my smart contract does
- Here are the tests I ran to verify my smart contract
- Here are the audit(s) performed to review my code by third party experts
This report is for informational purposes only and does not constitute investment advice of any kind, nor does it constitute an offer to provide investment advisory or other services. Nothing in this report shall be considered a solicitation or offer to buy or sell any security, token, future, option or other financial instrument or to offer or provide any investment advice or service to any person in any jurisdiction. Nothing contained in this report constitutes investment advice or offers any opinion with respect to the suitability of any security, and the views expressed in this report should not be taken as advice to buy, sell or hold any security. The information in this report should not be relied upon for the purpose of investing. In preparing the information contained in this report, we have not taken into account the investment needs, objectives and financial circumstances of any particular investor. This information has no regard to the specific investment objectives, financial situation and particular needs of any specific recipient of this information and investments discussed may not be suitable for all investors.
Any views expressed in this report by us were prepared based upon the information available to us at the time such views were written. The views expressed within this report are limited to DeFiSafety and the author and do not reflect those of any additional or third party and are strictly based upon DeFiSafety, its authors, interpretations and evaluation of relevant data. Changed or additional information could cause such views to change. All information is subject to possible correction. Information may quickly become unreliable for various reasons, including changes in market conditions or economic circumstances.
This completed report is copyright (c) DeFiSafety 2023. Permission is given to copy in whole, retaining this copyright label.
Smart Contracts & Team
74%
This section looks at the code deployed on the relevant chain that gets reviewed and its corresponding software repository. The document explaining these questions is here.
1. Are the smart contract addresses easy to find? (%)
They can be found at https://alchemix-finance.gitbook.io/v2/verifieddeployments, as indicated in the Appendix.
2. How active is the primary contract? (%)
3. Does the protocol have a public software repository? (Y/N)
Location: https://github.com/alchemix-finance
4. Is there a development history visible? (%)
With 26 commits and 7 branches on their v2-contracts repository, Alchemix's GitHub repository does offer a visible development history. As per our guideline, there is room for improvements by either increasing the number of branches or the number of commits. For this reason, Alchemix is attributed a score of 70%.
5. Is the team public (not anonymous)?
Although the cofounder has a Twitter profile and mentions Alchemix, the team uses an online persona.
Documentation
94%
This section looks at the software documentation. The document explaining these questions is here.
7. Is the protocol's software architecture documented? (Y/N)
Alchemix documents its software architecture through written descriptions which can be found here.
8. Does the software documentation fully cover the deployed contracts' source code? (%)
There is 100% coverage of deployed contracts by software function documentation.
9. Is it possible to trace the documented software to its implementation in the protocol's source code? (%)
There is implicit traceability between software documentation and implemented code.
Testing
50%
10. Has the protocol tested their deployed code? (%)
Code examples are in the Appendix at the end of this report.. As per the SLOC, there is 161% testing to code (TtC). This score is guided by the Test to Code ratio (TtC). Generally a good test to code ratio is over 100%. However, the reviewer's best judgement is the final deciding factor.
11. How covered is the protocol's code? (%)
Test for coverage was not found but clearly there is a robust testing suite.
12. Does the protocol provide scripts and instructions to run their tests? (Y/N)
No scripts or instructions to run tests were found inside of the Alchemix Github repo.
13. Is there a detailed report of the protocol's test results?(%)
There is no evidence of detailed test reports in the Alchemix GitHub.
14. Has the protocol undergone Formal Verification? (Y/N)
Alchemix has not undergone formal verification.
15. Were the smart contracts deployed to a testnet? (Y/N)
Alchemix does not document any testnet deployments.
Security
90%
This section looks at the 3rd party software audits done. It is explained in this document.
16. Is the protocol sufficiently audited? (%)
17. Is the bounty value acceptably high (%)
Alchemix has an active bug bounty of $500K.
Admin Controls
90%
This section covers the documentation of special access controls for a DeFi protocol. The admin access controls are the contracts that allow updating contracts or coefficients in the protocol. Since these contracts can allow the protocol admins to "change the rules", complete disclosure of capabilities is vital for user's transparency. It is explained in this document.
18. Is the protocol's admin control information easy to find?
Admin control information is clearly documented in this location. This is very easy to find.
19. Are relevant contracts clearly labelled as upgradeable or immutable? (%)
The relevant contracts (i.e. all) contracts in Alchemix are clearly labelled as upgradeable.
20. Is the type of smart contract ownership clearly indicated? (%)
Ownership of Alchemix's contracts is very clearly indicated by their documentation. There are three separate privileged roles with different capacities. In addition, the Alchemix DAO has a say over upgrades.
21. Are the protocol's smart contract change capabilities described? (%)
This capacities for change are clearly identified in their documentation.
22. Is the protocol's admin control information easy to understand? (%)
This information is straightforward and simple to understand
23. Is there sufficient Pause Control documentation? (%)
Alchemix identifies a pause control and explains under which conditions it is triggered.
24. Is there sufficient Timelock documentation? (%)
Alchemix documents a timelock, and this is easy to find. This length is justified and the applicable contracts are identified (i.e. all).
25. Is the Timelock of an adequate length? (Y/N)
Alchemix chooses a 24 hour timelock, and justifies this choice based on the need to update contracts fast thanks to the evolving nature of DeFi.
Oracles
81%
This section goes over the documentation that a protocol may or may not supply about their Oracle usage. Oracles are a fundamental part of DeFi as they are responsible for relaying tons of price data information to thousands of protocols using blockchain technology. Not only are they important for price feeds, but they are also an essential component of transaction verification and security. These questions are explained in this document.
26. Is the protocol's Oracle sufficiently documented? (%)
Alchemix identifies Chainlink as their principal oracle source. However, no timeframes or specific smart contracts are identified as using this oracle data.
27. Is front running mitigated by this protocol? (Y/N)
Alchemix mitigates the extent of front running by limiting mint amounts per block. This information can be found here.
28. Can flashloan attacks be applied to the protocol, and if so, are those flashloan attack risks mitigated? (Y/N)
Appendices
1contract Alchemist is ReentrancyGuard {
2 using CDP for CDP.Data;
3 using FixedPointMath for FixedPointMath.FixedDecimal;
4 using Vault for Vault.Data;
5 using Vault for Vault.List;
6 using SafeERC20 for IMintableERC20;
7 using SafeMath for uint256;
8 using Address for address;
9
10 address public constant ZERO_ADDRESS = address(0);
11
12 /// @dev Resolution for all fixed point numeric parameters which represent percents. The resolution allows for a
13 /// granularity of 0.01% increments.
14 uint256 public constant PERCENT_RESOLUTION = 10000;
15
16 /// @dev The minimum value that the collateralization limit can be set to by the governance. This is a safety rail
17 /// to prevent the collateralization from being set to a value which breaks the system.
18 ///
19 /// This value is equal to 100%.
20 ///
21 /// IMPORTANT: This constant is a raw FixedPointMath.FixedDecimal value and assumes a resolution of 64 bits. If the
22 /// resolution for the FixedPointMath library changes this constant must change as well.
23 uint256 public constant MINIMUM_COLLATERALIZATION_LIMIT = 1000000000000000000;
24
25 /// @dev The maximum value that the collateralization limit can be set to by the governance. This is a safety rail
26 /// to prevent the collateralization from being set to a value which breaks the system.
27 ///
28 /// This value is equal to 400%.
29 ///
30 /// IMPORTANT: This constant is a raw FixedPointMath.FixedDecimal value and assumes a resolution of 64 bits. If the
31 /// resolution for the FixedPointMath library changes this constant must change as well.
32 uint256 public constant MAXIMUM_COLLATERALIZATION_LIMIT = 4000000000000000000;
33
34 event GovernanceUpdated(
35 address governance
36 );
37
38 event PendingGovernanceUpdated(
39 address pendingGovernance
40 );
41
42 event SentinelUpdated(
43 address sentinel
44 );
45
46 event TransmuterUpdated(
47 address transmuter
48 );
49
50 event RewardsUpdated(
51 address treasury
52 );
53
54 event HarvestFeeUpdated(
55 uint256 fee
56 );
57
58 event CollateralizationLimitUpdated(
59 uint256 limit
60 );
61
62 event EmergencyExitUpdated(
63 bool status
64 );
65
66 event ActiveVaultUpdated(
67 IVaultAdapter indexed adapter
68 );
69
70 event FundsHarvested(
71 uint256 withdrawnAmount,
72 uint256 decreasedValue
73 );
74
75 event FundsRecalled(
76 uint256 indexed vaultId,
77 uint256 withdrawnAmount,
78 uint256 decreasedValue
79 );
80
81 event FundsFlushed(
82 uint256 amount
83 );
84
85 event TokensDeposited(
86 address indexed account,
87 uint256 amount
88 );
89
90 event TokensWithdrawn(
91 address indexed account,
92 uint256 requestedAmount,
93 uint256 withdrawnAmount,
94 uint256 decreasedValue
95 );
96
97 event TokensRepaid(
98 address indexed account,
99 uint256 parentAmount,
100 uint256 childAmount
101 );
JavaScript Tests
Tests to Code: 4668 / 2904 = 161 %