thUSD

Threshold USD is a decentralized protocol that enables you to borrow thUSD, a stablecoin soft-pegged against USD and backed by ETH and tBTC as collaterals with a minimum collateral ratio of 110%.

Originated as a modified fork of Liquity Protocol, Threshold USD was built to be self-sustained through a PCV ("Protocol Controlled Value"). There is no equivalent of LQTY token in Threshold USD. Instead all revenues accrue into the PCV. Since there is no token, Bootstrapping is completed through an Initial Protocol Loan.

The result of the protocol owning its own liquidity ("PCV"), is a more predictable trajectory and a sustainable long-term product. The stability pool is funded by the PCV instead of user deposits, so no funds are wasted on rewards and those funds can instead be re-injected into the stability pool. As the protocol grows and accrues fees, the stability pool will be consistently topped up.

For more information about thUSD, please visit https://app.thresholdusd.org/

thUSD bounties provide rewards in T. For more details about the payment process, please view the Rewards by Threat Level section further below.

Responsible Publication

thUSD adheres to category 2: Notice Required. This Policy determines what information whitehats are allowed to make public from their submitted bug reports. For more information about the category selected, please refer to our Responsible Publication page.

Primacy of Impact vs Primacy of Rules

For the purposes of determining report validity, this is a Primacy of Rules program.

Learn more about report validity best practices here: Best Practice - Primacy of Impact vs Primacy of Rules.

Known Issue Assurance

thUSD commits to providing Known Issue Assurance to bug submissions through their program. This means that thUSD will either disclose known issues publicly or at the very least privately via a self-reported bug submission in order to allow for a more objective and streamlined mediation process to prove that an issue is known. Otherwise, assuming the bug report itself is valid, it would result in the bug report being considered in-scope and due 100% of the reward with respect to the bug bounty program terms.

Immunefi Standard Badge

Threshold USD has satisfied the requirements for the Immunefi Standard Badge, which is given to projects that adhere to our best practices.

Governance-Run Program

This bug bounty program is governed by a governance proposal. To view the governance proposal poll, visit https://forum.threshold.network/t/tip-059-establish-a-bug-bounty-program-for-thusd/661

Rewards are distributed according to the impact of the vulnerability based on the Immunefi Vulnerability Severity Classification System v2.3. This is a simplified 4-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.

Repeatable Attack Limitations

In cases of repeatable attacks for smart contract bugs, only the first attack will be counted, regardless of whether the smart contract is upgradable, pausable, or killable.

Public Disclosure of Known Issues

Bug reports covering previously-discovered bugs acknowledged below are not eligible for any reward through the bug bounty program.

• https://github.com/Threshold-USD/dev/issues
• https://github.com/Threshold-USD/dev#known-issues
• https://github.com/liquity/dev/issues
• https://github.com/backstop-protocol/dev/blob/409ece756492f97197101c8266fdc025021caff6/README.md#pricefeed-limitations-and-known-issues

Previous Audits

thUSD has provided these completed audit review reports for reference. Any unfixed vulnerability mentioned in these reports are not eligible for a reward.

• Spearbit Audit Report
• Mixbytes for BAMM Contract Audit Report
• Mixbytes Audit Report - General

Proof of Concept (PoC) Requirements

A PoC is required for the following severity levels:

• Smart Contract - Critical
• Smart Contract - High
• Smart Contract - Medium
• Smart Contract - Low
• Web/App - Critical
• Web/App - High
• Web/App - Medium

All PoCs submitted must comply with the Immunefi-wide PoC Guidelines and Rules. Bug report submissions without a complete PoC, when a PoC is required will not be provided with a reward.

Other Terms and Information

• Impacts only apply to assets in active use by the project, like contracts on mainnet or web/app assets used in production. Any impact that applies to assets not in active use, like test or mock files, are out-of-scope of the bug bounty program unless explicitly mentioned as in-scope.
• All reports must be submitted in English.
• Threshold USD would like to notify whitehats that payouts concerning high and critical reports may exceed the SLA established by Immunefi. These larger payouts could be delayed by a few hours or days, depending on the amount, to allow our governance process to fund the required payment, which can take up to 14 days. Threshold USD will inform the whitehat whenever this is the case, within the SLA timeframe, to manage expectations and provide clarity.

Reward Payment Terms

Payouts are handled by the thUSD team directly and are denominated in USD. However, payments are done in T (https://www.coingecko.com/en/coins/threshold-network-token).

The calculation of the net amount rewarded is based on the average price between high and low for the day of the report submission as published on CoinMarketCap.com Historical Data (https://coinmarketcap.com/currencies/threshold/historical-data/) for the T token. No adjustments are made based on liquidity availability. For avoidance of doubt, if the reward amount is USD 5 000 and the average price at the time of the bug report submission is USD 1.75 per token, then the reward will be 2857.142857 units of that token.

Rewards for critical smart contract bug reports will be further capped at 10% of direct funds at risk if the bug discovered is exploited. However, there is a minimum reward of USD 5 000 and a max program cap of USD 100 000

Rewards for high smart contract bug reports will be further capped at 100% of direct funds at risk if the bug discovered is exploited. However, there is a minimum reward of USD 5 000 and a max cap of USD 10 000

Rewards for critical web/app bug reports will be further capped at 10% of direct funds at risk if the bug discovered is exploited. However, there is a minimum reward of USD 5 000 and a max cap of USD 10 000.

Rewards for high web/app bug reports will be further capped at 100% of direct funds at risk if the bug discovered is exploited. However, there is a minimum reward of USD 1 000 and a max cap of USD 5 000.

All code of thUSD can be found at https://github.com/Threshold-USD/dev/tree/thUSD Documentation for the assets provided in the table can be found at https://docs.threshold.network/applications/threshold-usd.

Unless explicitly listed, only pages of the web/app assets in addition to the direct link are considered in-scope of the bug bounty program. Other subdomains are not considered as in-scope. However, for subdomain takeovers that lead to an impact on the in-scope asset, please refer to our page about Reported Subdomain Takeovers.

These impacts are out of scope for this bug bounty program.

All Categories

• Impacts requiring attacks that the reporter has already exploited themselves, leading to damage
• Impacts caused by attacks requiring access to leaked keys/credentials
• Impacts caused by attacks requiring access to privileged addresses (governance, strategist) except in such cases where the contracts are intended to have no privileged access to functions that make the attack possible
• Impacts relying on attacks involving the depegging of an external stablecoin where the attacker does not directly cause the depegging due to a bug in code
• Mentions of secrets, access tokens, API keys, private keys, etc. in Github will be considered out of scope without proof that they are in-use in production
• Best practice recommendations
• Feature requests
• Impacts on test files and configuration files unless stated otherwise in the bug bounty program

Smart Contracts and Blockchain/DLT

• Incorrect data supplied by third party oracles
  • Not to exclude oracle manipulation/flash loan attacks
• Impacts requiring basic economic and governance attacks (e.g. 51% attack)
• Lack of liquidity impacts
• Impacts from Sybil attacks
• Impacts involving centralization risks
• Best practice recommendations

Web/App

• Theoretical impacts without any proof or demonstration
• Impacts involving attacks requiring physical access to the victim device
• Impacts involving attacks requiring access to the local network of the victim
• Reflected plain text injection (e.g. url parameters, path, etc.)
  • This does not exclude reflected HTML injection with or without JavaScript
  • This does not exclude persistent plain text injection
• Any impacts involving self-XSS
• Captcha bypass using OCR without impact demonstration
• CSRF with no state modifying security impact (e.g. logout CSRF)
• Impacts related to missing HTTP Security Headers (such as X-FRAME-OPTIONS) or cookie security flags (such as “httponly”) without demonstration of impact
• Server-side non-confidential information disclosure, such as IPs, server names, and most stack traces
• Impacts causing only the enumeration or confirmation of the existence of users or tenants
• Impacts caused by vulnerabilities requiring un-prompted, in-app user actions that are not part of the normal app workflows
• Lack of SSL/TLS best practices
• Impacts that involve DOS and/or DDoS
• UX and UI impacts that do not materially disrupt use of the platform
• Impacts primarily caused by browser/plugin defects
• Leakage of non sensitive API keys (e.g. Etherscan, Infura, Alchemy, etc.)
• Any vulnerability exploit requiring browser bugs for exploitation (e.g. CSP bypass)
• SPF/DMARC misconfigured records
• Missing HTTP Headers without demonstrated impact
• Automated scanner reports without demonstrated impact
• UI/UX best practice recommendations
• Non-future-proof NFT rendering
• Impacts caused by attacks requiring access to leaked keys/credentials

The following activities are prohibited by this bug bounty program:

• Any testing on mainnet or public testnet deployed code; all testing should be done on local-forks of either public testnet or mainnet
• 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 that are executed against project assets
• Automated testing of services that generates significant amounts of traffic
• Public disclosure of an unpatched vulnerability in an embargoed bounty