Bean Sprout

Proposer

Rex on behalf of Irrigation Protocol

Introduction

The recent surge in high-profile security incidents, such as the Beanstalk flash loan attack, has highlighted the critical importance of implementing robust security measures and conducting thorough audits to safeguard users and their assets. Recognizing security in establishing trust with users throughout the development process, Irrigation Protocol has hired the security firm Halborn (known for its collaboration with Beanstalk) to conduct a comprehensive security audit of the protocol before launch. This audit will identify and resolve potential vulnerabilities, reinforcing the protocol’s security, reliability, and readiness for widespread adoption.

Project Description

Among other capabilities, Irrigation Finance is preparing to offer a comprehensive suite of features, including a pod pricing oracle, a tranching system for liquid lending markets in Beanstalk pods, and zero-knowledge privacy peer-to-peer auction markets for tranched Beanstalk pods.

In addition to tranched Pods, other Bean assets (including Bean tokens on launch and Silo Deposits in the near future) will have the ability to be swapped via Irrigation’s Auction Platform for a host of non-Bean assets, allowing conversion without putting downward pressure on Bean price.

Finally, upon launch, the protocol will include the Irrigate function. Here, if a Water (governance) token holder elects to not withdraw their monthly rewards, those rewards will be converted to Bean and allocated a 5% bonus. The process provides enhanced rewards for patient Water token holders and upward pressure on Bean price when the Irrigate function occurs. Though this intermediary asset is subject to change, Irrigation plans to use Bean in this capacity for the foreseeable future.

Objectives

The objectives of this proposal are as follows:

• Conduct a comprehensive security audit of Irrigation Protocol in collaboration with Halborn to identify and resolve potential vulnerabilities.
• Ensure the protocol’s security, reliability, and readiness for widespread adoption.
• Enhance Beanstalk Protocol print and peg-oscillation capabilities through the suite of Irrigation Tools.

Budget

Irrigation requests the remaining Bean in the Bean Sprout Multisig (21,333 Beans, to be reduced to 16,333 Beans should BSP-X pass), to be allocated towards covering a portion of the comprehensive security audit, including any required fixes or updates resulting from the audit.

Timeline

The timeline/sequence is as follows:

• Halborn conducts security audit (approx. six weeks, underway for two weeks).
• This proposal is submitted to the Beanstalk community for BSP vote.
• Any necessary fixes or updates made to Irrigation based on audit results.
• Final audit report is submitted to the community.
• Irrigation Protocol launches (late August/early September).
• Irrigation Protocol makes code available to the public (one month after launch).

Conclusion

By conducting a comprehensive security audit in collaboration with Halborn, Irrigation Protocol demonstrates its commitment to security, reliability, and user-centric development. The proposed security audit will identify and address potential vulnerabilities, bolstering the protocol’s trustworthiness and readiness for widespread adoption.

This proposal showcases Irrigation’s dedication to maintaining a secure and thriving ecosystem and its desire to succeed alongside Beanstalk Protocol.

Thank you for your consideration!

References

• Irrigation Protocol GitBook: https://docs.irrigation.finance/irrigation-protocol/
• Halborn Blockchain Security: www.halborn.com