Hakka Finance

Hakka Finance is a set of decentralized finance (DeFi) applications, which form an all-inclusive ecosystem of tools that allow users to pursue financial sovereignty. The current product offering consists of a stablecoin automated market maker (AMM) DEX, a gamified insurance product, an onchain prediction market and a derivative framework. All of this is administered and governed by a homonymous governance token, which goes by the ticker of HAKKA.

For more information about Hakka Finance, please visit https://hakka.finance/.

This bug bounty program is focused on their smart contracts, website and app and is focused on preventing:

• Any governance voting result manipulation
• Direct theft of any user funds, whether at-rest or in-motion, other than unclaimed yield
• Permanent freezing of funds
• Miner-extractable value (MEV)
• Protocol Insolvency

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, smart contracts, and blockchains/DLTs, focusing on the impact of the vulnerability reported.

All web/app bug reports must come with a PoC with an end-effect impacting an asset-in-scope in order to be considered for a reward. All High and Critical Smart Contract bug reports require a PoC to be eligible for a reward. Explanations and statements are not accepted as PoC and code is required.

Critical smart contract vulnerabilities are capped at 10% of economic damage, primarily taking into consideration funds at risk, but also PR and branding aspects, at the discretion of the team.

The following vulnerabilities are not eligible for a reward:

• In https://github.com/artistic709/ImpermanentGain/blob/main/v2/IGainBase.sol, on line 701, the transaction will fail if reserveOut is smaller than amountIn. This happens when you want to sell Long or Short with burnA() or burnB() and the liquidity is too small compared to the amount to be sold.

Payouts are handled by the Hakka Finance team directly and are denominated in USD. However, payouts are done in USDT, USDC and ETH, with the choice of the ratio at the discretion of the team.

All smart contracts of Hakka Finance can be found at

• https://github.com/hakkafinance/iGain/tree/main/v2
• https://github.com/hakkafinance/HakkaFinance
• https://github.com/hakkafinance/urban-giggle
• https://github.com/hakkafinance/3FMutual

However, only those in the Assets in Scope table are considered as in-scope of the bug bounty program.

The on-chain instance of iGain v2 would be expired and redeployed continuously. Therefore, it’s difficult to choose a specific term on blockchain explorer for reference, but we put the previous expired contracts as an example.

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

• 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
• Centralization risks

Websites 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
• Feature requests
• Best practices
• Vulnerabilities primarily caused by browser/plugin defects
• Any vulnerability exploit requiring CSP bypass resulting from a browser bug

The following activities are prohibited by this 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