Summary

We are asking for $20K to audit TokenBuyerV2, a contract that will allow the DAO to swap stETH into USDC, similar to how TokenBuyer swaps ETH to USDC.

Why?

Many proposals request funds in USDC. TokenBuyer facilitates that by swapping ETH for USDC. Nowadays, the DAO holds most of its ETH as stETH, which is not supported by TokenBuyer. Recently there have been several instances where the DAO ran out of ETH and wasn’t able to fund TokenBuyer, causing grant recipients to wait until the DAO eventually got ETH, either by unstaking stETH, or by accumulating ETH from the auctions.

TokenBuyerV2

The V2 contract works by allowing the DAO to sell an ERC20 token for another ERC20 token using an oracle to determine the price. If approved, we plan to deploy it with stETH as the sell token, and USDC as the buy token.

Another important change is that the sell token (stETH) doesn’t need to be transferred into the contract. Instead, the DAO approves a certain amount of stETH to be withdrawn by the TokenBuyerV2 contract. This will allow us to avoid cases where not enough or too much ETH was sent to TokenBuyer.

The new contract will fund the existing deployed Payer contract, which will allow for a smooth transition.

We plan to use the same price oracle that we use today for ETH/USDC, and assume that stETH should be 1:1 to ETH. In case for some reason stETH becomes lower than 1 ETH, this would prevent it from being sold.

The code is almost ready for audit and can be reviewed here.

Audit

The audit will be an open contest done by Sherlock, with hyh as the lead auditor.

verbs team ⌐◨-◨