BENQI

BENQI Liquidity Market

BENQI Liquidity Market is a decentralized non-custodial liquidity market protocol, built on Avalanche. The protocol enables users to effortlessly lend, borrow, and earn interest with their digital assets. Depositors providing liquidity to the protocol may earn passive income, while borrowers are able to borrow in an over-collateralized manner.

BENQI aims to alleviate common DeFi problems by providing a Liquidity Market Protocol on a highly scalable and decentralized platform. With a focus on approachability, ease of use, and low fees, BENQI will democratize access to decentralized financial products by providing permissionless lending and borrowing where users can:

• Instantly supply to and withdraw liquidity from a shared liquidity market
• Instantly borrow from a liquidity market using their supplied assets as collateral
• Have a live and transparent view of interest rates around the clock based on the asset's market supply and demand

BENQI Liquid Staking

BENQI Liquid Staking (BLS) is a liquid staking protocol built on Avalanche. It tokenizes staked AVAX and allows users to freely use it within Decentralized Finance dApps such as Automated Market Makers (AMMs), Lending & Borrowing Protocols, Yield Aggregators, etc.

BLS allows users to stake AVAX on the Avalanche C-Chain* without needing to stake on the Avalanche P-Chain*. This allows users to earn validating rewards from the P-Chain without running a full node or locking up AVAX on a validating node.

For more information about BENQI, please visit https://docs.benqi.fi/.

The bug bounty program is focused around its smart contracts and the prevention of loss of user funds, thefts and freezing of principal of any amount, thefts and freezing of unclaimed yield of any amount, theft of governance funds, denial of service, DNS hijack attacks, and social media administrative control breaches.

Rewards are distributed according to the impact of the vulnerability based on the Immunefi Vulnerability Severity Classification System V2.2. This is a simplified 5-level scale, with separate scales for websites/apps and smart contracts/blockchains, encompassing everything from consequence of exploitation to privilege required to likelihood of a successful exploit.

The final reward amount for critical smart contract and blockchain vulnerabilities is capped at 10% of the economic damage funds at risk based on the vulnerability reported with a payout floor of USD 50 000. All smart contract reports must come with a Proof of Concept (PoC) showing impact. Reports without a PoC will be automatically rejected.

All web and app bug reports must come with a Proof of Concept (PoC) showing impact. Reports without a PoC will be automatically rejected.

Payouts are handled by the BENQI team directly and are denominated in USD. Payouts are done in USDC or USDT for Low, Medium, and High level bug reports. For payouts USD 50 000 and above, up to 80% of the payout may be done in $Qi.

Only the following impacts are accepted within this bug bounty program. All other impacts are not considered as in-scope, even if they affect something in the assets in scope table. All reports must come with a Proof of Concept (PoC) showing impact. Reports without a PoC will be automatically rejected.

The following vulnerabilities are excluded from the rewards for this bug bounty program:

All Programs

• Attacks that the reporter has already exploited themselves, leading to damage
• Attacks requiring access to leaked keys/credentials
• Attacks requiring access to privileged addresses (governance, strategist)

Smart Contracts and Blockchain

• Incorrect data supplied by third party oracles
  • Not to exclude oracle manipulation/flash loan attacks
• Basic economic governance attacks (e.g. 51% attack)
• Lack of liquidity
• Best practice critiques
• Sybil attacks
• ERC-777 re-entrancy
• Reward distribution bugs affecting early borrowers in markets with zero distribution rewards
• Reward distribution bugs resulting from temporarily disabling distribution rewards

Website and Apps

• Theoretical vulnerabilities without any proof or demonstration
• Content spoofing / Text injection issues
• Self-XSS
• Captcha bypass using OCR
• CSRF with no security impact (logout CSRF, change language, etc.)
• Missing HTTP Security Headers (such as X-FRAME-OPTIONS) or cookie security flags (such as “httponly”)
• Server-side information disclosure such as IPs, server names, and most stack traces
• Vulnerabilities used to enumerate or confirm the existence of users or tenants
• Vulnerabilities requiring unlikely user actions
• URL Redirects (unless combined with another vulnerability to produce a more severe vulnerability)
• Lack of SSL/TLS best practices
• DDoS vulnerabilities
• Attacks requiring privileged access from within the organization
• Requests for new features

The following activities are prohibited by bug bounty program:

• Any testing with mainnet or public testnet contracts; all testing should be done on private testnets
• Any testing with pricing oracles or third party smart contracts
• Attempting phishing or other social engineering attacks against our employees and/or customers
• Any testing with third party systems and applications (e.g. browser extensions) as well as websites (e.g. SSO providers, advertising networks)
• Any denial of service attacks
• Automated testing of services that generates significant amounts of traffic
• Public disclosure of an unpatched vulnerability in an embargoed bounty