Hard: LTV index refactor (#758)

* add set/delete/update ltv methods

* refactor borrow logic

* basic updates to keeper logic for compile

* Add deposit index set/delete/update keeper methods

* refactor deposit logic

* refactor repay logic

* update withdraw logic

* introduce DeleteDepositBorrowAndLtvIndex

* remove unused bool from AttemptKeeperLiquidation

* remove comments (transitioned to asana cards)

* catch multiple error types in liquidation loop

x/hard/handler.go

@@ -124,7 +124,7 @@ func handleMsgRepay(ctx sdk.Context, k keeper.Keeper, msg types.MsgRepay) (*sdk.
 }
 
 func handleMsgLiquidate(ctx sdk.Context, k keeper.Keeper, msg types.MsgLiquidate) (*sdk.Result, error) {
-	_, err := k.AttemptKeeperLiquidation(ctx, msg.Keeper, msg.Borrower)
+	err := k.AttemptKeeperLiquidation(ctx, msg.Keeper, msg.Borrower)
 	if err != nil {
 		return nil, err
 	}

x/hard/keeper/borrow.go

@@ -23,7 +23,7 @@ func (k Keeper) Borrow(ctx sdk.Context, borrower sdk.AccAddress, coins sdk.Coins
 	}
 
 	// Get current stored LTV based on stored borrows/deposits
-	prevLtv, shouldRemoveIndex, err := k.GetStoreLTV(ctx, borrower)
+	prevLtv, err := k.GetStoreLTV(ctx, borrower)
 	if err != nil {
 		return err
 	}
@@ -85,11 +85,20 @@ func (k Keeper) Borrow(ctx sdk.Context, borrower sdk.AccAddress, coins sdk.Coins
 		amount = coins
 	}
 
-	// Update the borrower's amount and borrow interest factors in the store
+	// Construct the user's new/updated borrow with amount and interest factors
 	borrow := types.NewBorrow(borrower, amount, borrowInterestFactors)
-	k.SetBorrow(ctx, borrow)
 
-	k.UpdateItemInLtvIndex(ctx, prevLtv, shouldRemoveIndex, borrower)
+	// Calculate the new Loan-to-Value ratio of Deposit-to-Borrow
+	deposit, foundDeposit := k.GetDeposit(ctx, borrower)
+	if !foundDeposit {
+		return types.ErrDepositNotFound
+	}
+	newLtv, err := k.CalculateLtv(ctx, deposit, borrow)
+	if err != nil {
+		return err
+	}
+
+	k.UpdateBorrowAndLtvIndex(ctx, borrow, newLtv, prevLtv)
 
 	// Update total borrowed amount by newly borrowed coins. Don't add user's pending interest as
 	// it has already been included in the total borrowed coins by the BeginBlocker.

x/hard/keeper/deposit.go

@@ -24,7 +24,7 @@ func (k Keeper) Deposit(ctx sdk.Context, depositor sdk.AccAddress, coins sdk.Coi
 	}
 
 	// Get current stored LTV based on stored borrows/deposits
-	prevLtv, shouldRemoveIndex, err := k.GetStoreLTV(ctx, depositor)
+	prevLtv, err := k.GetStoreLTV(ctx, depositor)
 	if err != nil {
 		return err
 	}
@@ -87,12 +87,17 @@ func (k Keeper) Deposit(ctx sdk.Context, depositor sdk.AccAddress, coins sdk.Coi
 	} else {
 		amount = coins
 	}
-
 	// Update the depositer's amount and supply interest factors in the store
 	deposit := types.NewDeposit(depositor, amount, supplyInterestFactors)
-	k.SetDeposit(ctx, deposit)
 
-	k.UpdateItemInLtvIndex(ctx, prevLtv, shouldRemoveIndex, depositor)
+	// Calculate the new Loan-to-Value ratio of Deposit-to-Borrow
+	borrow, _ := k.GetBorrow(ctx, depositor)
+	newLtv, err := k.CalculateLtv(ctx, deposit, borrow)
+	if err != nil {
+		return err
+	}
+
+	k.UpdateDepositAndLtvIndex(ctx, deposit, newLtv, prevLtv)
 
 	// Update total supplied amount by newly supplied coins. Don't add user's pending interest as
 	// it has already been included in the total supplied coins by the BeginBlocker.

x/hard/keeper/liquidation.go

@@ -22,9 +22,9 @@ func (k Keeper) AttemptIndexLiquidations(ctx sdk.Context) error {
 	borrowers := k.GetLtvIndexSlice(ctx, params.CheckLtvIndexCount)
 
 	for _, borrower := range borrowers {
-		_, err := k.AttemptKeeperLiquidation(ctx, sdk.AccAddress(types.LiquidatorAccount), borrower)
+		err := k.AttemptKeeperLiquidation(ctx, sdk.AccAddress(types.LiquidatorAccount), borrower)
 		if err != nil {
-			if !errors.Is(err, types.ErrBorrowNotLiquidatable) {
+			if !errors.Is(err, types.ErrBorrowNotLiquidatable) && !errors.Is(err, types.ErrBorrowNotFound) {
 				panic(err)
 			}
 		}
@@ -33,34 +33,30 @@ func (k Keeper) AttemptIndexLiquidations(ctx sdk.Context) error {
 }
 
 // AttemptKeeperLiquidation enables a keeper to liquidate an individual borrower's position
-func (k Keeper) AttemptKeeperLiquidation(ctx sdk.Context, keeper sdk.AccAddress, borrower sdk.AccAddress) (bool, error) {
+func (k Keeper) AttemptKeeperLiquidation(ctx sdk.Context, keeper sdk.AccAddress, borrower sdk.AccAddress) error {
-	prevLtv, shouldInsertIndex, err := k.GetStoreLTV(ctx, borrower)
+	prevLtv, err := k.GetStoreLTV(ctx, borrower)
 	if err != nil {
-		return false, err
+		return err
 	}
 
 	k.SyncBorrowInterest(ctx, borrower)
 
-	k.UpdateItemInLtvIndex(ctx, prevLtv, shouldInsertIndex, borrower)
-
-	// Fetch deposits and parse coin denoms
 	deposit, found := k.GetDeposit(ctx, borrower)
 	if !found {
-		return false, sdkerrors.Wrapf(types.ErrDepositsNotFound, "no deposits found for %s", borrower)
+		return types.ErrDepositNotFound
 	}
 
-	// Fetch borrow balances and parse coin denoms
 	borrow, found := k.GetBorrow(ctx, borrower)
 	if !found {
-		return false, types.ErrBorrowNotFound
+		return types.ErrBorrowNotFound
 	}
 
 	isWithinRange, err := k.IsWithinValidLtvRange(ctx, deposit, borrow)
 	if err != nil {
-		return false, err
+		return err
 	}
 	if isWithinRange {
-		return false, sdkerrors.Wrapf(types.ErrBorrowNotLiquidatable, "position is within valid LTV range")
+		return sdkerrors.Wrapf(types.ErrBorrowNotLiquidatable, "position is within valid LTV range")
 	}
 
 	// Sending coins to auction module with keeper address getting % of the profits
@@ -68,19 +64,11 @@ func (k Keeper) AttemptKeeperLiquidation(ctx sdk.Context, keeper sdk.AccAddress,
 	depositDenoms := getDenoms(deposit.Amount)
 	err = k.SeizeDeposits(ctx, keeper, deposit, borrow, depositDenoms, borrowDenoms)
 	if err != nil {
-		return false, err
+		return err
 	}
 
-	currLtv, _, err := k.GetStoreLTV(ctx, borrower)
+	k.DeleteDepositBorrowAndLtvIndex(ctx, deposit, borrow, prevLtv)
-	if err != nil {
+	return nil
-		return false, err
-	}
-	k.RemoveFromLtvIndex(ctx, currLtv, borrower)
-
-	k.DeleteBorrow(ctx, borrow)
-	k.DeleteDeposit(ctx, deposit)
-
-	return true, err
 }
 
 // SeizeDeposits seizes a list of deposits and sends them to auction
@@ -276,36 +264,40 @@ func (k Keeper) IsWithinValidLtvRange(ctx sdk.Context, deposit types.Deposit, bo
 	return true, nil
 }
 
-// UpdateItemInLtvIndex updates the key a borrower's address is stored under in the LTV index
+// UpdateBorrowAndLtvIndex updates a borrow and its LTV index value in the store
-func (k Keeper) UpdateItemInLtvIndex(ctx sdk.Context, prevLtv sdk.Dec,
+func (k Keeper) UpdateBorrowAndLtvIndex(ctx sdk.Context, borrow types.Borrow, newLtv, oldLtv sdk.Dec) {
-	shouldRemoveIndex bool, borrower sdk.AccAddress) error {
+	k.RemoveFromLtvIndex(ctx, oldLtv, borrow.Borrower)
-	currLtv, shouldInsertIndex, err := k.GetStoreLTV(ctx, borrower)
+	k.SetBorrow(ctx, borrow)
-	if err != nil {
+	k.InsertIntoLtvIndex(ctx, newLtv, borrow.Borrower)
-		return err
+}
-	}
 
-	if shouldRemoveIndex {
+// UpdateDepositAndLtvIndex updates a deposit and its LTV index value in the store
-		k.RemoveFromLtvIndex(ctx, prevLtv, borrower)
+func (k Keeper) UpdateDepositAndLtvIndex(ctx sdk.Context, deposit types.Deposit, newLtv, oldLtv sdk.Dec) {
-	}
+	k.RemoveFromLtvIndex(ctx, oldLtv, deposit.Depositor)
-	if shouldInsertIndex {
+	k.SetDeposit(ctx, deposit)
-		k.InsertIntoLtvIndex(ctx, currLtv, borrower)
+	k.InsertIntoLtvIndex(ctx, newLtv, deposit.Depositor)
-	}
+}
-	return nil
+
+// DeleteDepositBorrowAndLtvIndex deletes deposit, borrow, and ltv index
+func (k Keeper) DeleteDepositBorrowAndLtvIndex(ctx sdk.Context, deposit types.Deposit, borrow types.Borrow, oldLtv sdk.Dec) {
+	k.RemoveFromLtvIndex(ctx, oldLtv, deposit.Depositor)
+	k.DeleteDeposit(ctx, deposit)
+	k.DeleteBorrow(ctx, borrow)
 }
 
 // GetStoreLTV calculates the user's current LTV based on their deposits/borrows in the store
 // and does not include any outsanding interest.
-func (k Keeper) GetStoreLTV(ctx sdk.Context, addr sdk.AccAddress) (sdk.Dec, bool, error) {
+func (k Keeper) GetStoreLTV(ctx sdk.Context, addr sdk.AccAddress) (sdk.Dec, error) {
 	// Fetch deposits and parse coin denoms
 	deposit, found := k.GetDeposit(ctx, addr)
 	if !found {
-		return sdk.ZeroDec(), false, nil
+		return sdk.ZeroDec(), nil
 	}
 
 	// Fetch borrow balances and parse coin denoms
 	borrow, found := k.GetBorrow(ctx, addr)
 	if !found {
-		return sdk.ZeroDec(), false, nil
+		return sdk.ZeroDec(), nil
 	}
 
 	return k.CalculateLtv(ctx, deposit, borrow)
@@ -313,11 +305,11 @@ func (k Keeper) GetStoreLTV(ctx sdk.Context, addr sdk.AccAddress) (sdk.Dec, bool
 
 // CalculateLtv calculates the potential LTV given a user's deposits and borrows.
 // The boolean returned indicates if the LTV should be added to the store's LTV index.
-func (k Keeper) CalculateLtv(ctx sdk.Context, deposit types.Deposit, borrow types.Borrow) (sdk.Dec, bool, error) {
+func (k Keeper) CalculateLtv(ctx sdk.Context, deposit types.Deposit, borrow types.Borrow) (sdk.Dec, error) {
 	// Load required liquidation data for every deposit/borrow denom
 	liqMap, err := k.LoadLiquidationData(ctx, deposit, borrow)
 	if err != nil {
-		return sdk.ZeroDec(), false, nil
+		return sdk.ZeroDec(), nil
 	}
 
 	// Build valuation map to hold deposit coin USD valuations
@@ -339,11 +331,11 @@ func (k Keeper) CalculateLtv(ctx sdk.Context, deposit types.Deposit, borrow type
 	// User doesn't have any deposits, catch divide by 0 error
 	sumDeposits := depositCoinValues.Sum()
 	if sumDeposits.Equal(sdk.ZeroDec()) {
-		return sdk.ZeroDec(), false, nil
+		return sdk.ZeroDec(), nil
 	}
 
 	// Loan-to-Value ratio
-	return borrowCoinValues.Sum().Quo(sumDeposits), true, nil
+	return borrowCoinValues.Sum().Quo(sumDeposits), nil
 }
 
 // LoadLiquidationData returns liquidation data, deposit, borrow

x/hard/keeper/liquidation_test.go

@@ -1358,9 +1358,8 @@ func (suite *KeeperTestSuite) TestKeeperLiquidation() {
 			suite.Require().True(foundDepositBefore)
 
 			// Attempt to liquidate
-			liquidated, err := suite.keeper.AttemptKeeperLiquidation(liqCtx, tc.args.keeper, tc.args.borrower)
+			err = suite.keeper.AttemptKeeperLiquidation(liqCtx, tc.args.keeper, tc.args.borrower)
 			if tc.errArgs.expectPass {
-				suite.Require().True(liquidated)
 				suite.Require().NoError(err)
 
 				// Check borrow does not exist after liquidation
@@ -1383,7 +1382,6 @@ func (suite *KeeperTestSuite) TestKeeperLiquidation() {
 				suite.Require().True(len(auctions) > 0)
 				suite.Require().Equal(tc.args.expectedAuctions, auctions)
 			} else {
-				suite.Require().False(liquidated)
 				suite.Require().Error(err)
 				suite.Require().True(strings.Contains(err.Error(), tc.errArgs.contains))
 

x/hard/keeper/repay.go

@@ -10,7 +10,7 @@ import (
 // Repay borrowed funds
 func (k Keeper) Repay(ctx sdk.Context, sender sdk.AccAddress, coins sdk.Coins) error {
 	// Get current stored LTV based on stored borrows/deposits
-	prevLtv, shouldRemoveIndex, err := k.GetStoreLTV(ctx, sender)
+	prevLtv, err := k.GetStoreLTV(ctx, sender)
 	if err != nil {
 		return err
 	}
@@ -43,9 +43,18 @@ func (k Keeper) Repay(ctx sdk.Context, sender sdk.AccAddress, coins sdk.Coins) e
 
 	// Update user's borrow in store
 	borrow.Amount = borrow.Amount.Sub(payment)
-	k.SetBorrow(ctx, borrow)
 
-	k.UpdateItemInLtvIndex(ctx, prevLtv, shouldRemoveIndex, sender)
+	// Calculate the new Loan-to-Value ratio of Deposit-to-Borrow
+	deposit, foundDeposit := k.GetDeposit(ctx, sender)
+	if !foundDeposit {
+		return types.ErrDepositNotFound
+	}
+	newLtv, err := k.CalculateLtv(ctx, deposit, borrow)
+	if err != nil {
+		return err
+	}
+
+	k.UpdateBorrowAndLtvIndex(ctx, borrow, newLtv, prevLtv)
 
 	// Update total borrowed amount
 	k.DecrementBorrowedCoins(ctx, payment)

x/hard/keeper/withdraw.go

@@ -10,7 +10,7 @@ import (
 // Withdraw returns some or all of a deposit back to original depositor
 func (k Keeper) Withdraw(ctx sdk.Context, depositor sdk.AccAddress, coins sdk.Coins) error {
 	// Get current stored LTV based on stored borrows/deposits
-	prevLtv, shouldRemoveIndex, err := k.GetStoreLTV(ctx, depositor)
+	prevLtv, err := k.GetStoreLTV(ctx, depositor)
 	if err != nil {
 		return err
 	}
@@ -27,18 +27,17 @@ func (k Keeper) Withdraw(ctx sdk.Context, depositor sdk.AccAddress, coins sdk.Co
 	if err != nil {
 		return err
 	}
-	proposedDeposit := types.NewDeposit(deposit.Depositor, deposit.Amount.Sub(amount), types.SupplyInterestFactors{})
 
 	borrow, found := k.GetBorrow(ctx, depositor)
 	if !found {
 		borrow = types.Borrow{}
 	}
 
+	proposedDeposit := types.NewDeposit(deposit.Depositor, deposit.Amount.Sub(amount), types.SupplyInterestFactors{})
 	valid, err := k.IsWithinValidLtvRange(ctx, proposedDeposit, borrow)
 	if err != nil {
 		return err
 	}
-
 	if !valid {
 		return sdkerrors.Wrapf(types.ErrInvalidWithdrawAmount, "proposed withdraw outside loan-to-value range")
 	}
@@ -60,9 +59,12 @@ func (k Keeper) Withdraw(ctx sdk.Context, depositor sdk.AccAddress, coins sdk.Co
 	}
 
 	deposit.Amount = deposit.Amount.Sub(amount)
-	k.SetDeposit(ctx, deposit)
 
-	k.UpdateItemInLtvIndex(ctx, prevLtv, shouldRemoveIndex, depositor)
+	newLtv, err := k.CalculateLtv(ctx, deposit, borrow)
+	if err != nil {
+		return err
+	}
+	k.UpdateDepositAndLtvIndex(ctx, deposit, newLtv, prevLtv)
 
 	// Update total supplied amount
 	k.DecrementBorrowedCoins(ctx, amount)