Flare is the blockchain for data. It is a layer-1, EVM smart contract platform designed to expand the utility of blockchain by delivering data certainty for dApp builders. 

FAssets is a trustless, over-collateralized bridge built on Flare that connects non smart contract networks to Flare/Songbird. It enables the creation of wrapped tokens (FAssets) for assets like BTC, DOGE and XRP.

Protocol insolvency

Contract fails to deliver promised returns, but doesn't lose value

Griefing (e.g. no profit motive for an attacker, but damage to the users or the protocol)

Temporary freezing of funds

Ability to exfiltrate agent bot’s private keys

Theft of unclaimed yield

Direct theft of any user funds, whether at-rest or in-motion, other than unclaimed yield

Stealing funds from any FAsset bot

Bot fails to deliver expected functionality, leading to loss of funds (e.g. by entering full liquidation or defaulting redemptions)

Bot fails to deliver expected functionality, no funds at risk

Unintended shutdown of agent bot

Unauthorized minting of FAssets or collateral tokens

Unauthorized freezing of unclaimed yield

Manipulation of redemption or minting processes, causing users to receive incorrect amounts

Unbounded gas consumption that could lead to denial of service or stalled transactions

- Impacts achieved with frontrunning attacks will have severity lowered by one level. 
- Impacts requiring malicious agent actions will have severity lowered by one level.
- Theft, freezing or loss of dust amounts of funds below the value of $1000 will be considered as griefing.
- Loss of funds caused by penalisation is not considered as theft of funds.

FAssets

Documentation

__Reward Calculation for Critical Level Reports__

For critical smart contract bugs, the reward amount is 10% of the funds directly affected up to a maximum of USD 250 000. The calculation of the amount of funds at risk is based on the time and date the bug report is submitted. However, a minimum reward of USD 20 000 is to be rewarded in order to incentivize security researchers against withholding a critical bug report.

__Repeatable Attack Limitations__

If the smart contract where the vulnerability exists can be upgraded or paused, only the initial attack will be considered for a reward. This is because the project can mitigate the risk of further exploitation by upgrading or pausing the specific component where the vulnerability exists. The reward amount will depend on the severity of the impact and the funds at risk. 

For critical repeatable attacks on smart contracts that cannot be upgraded or paused, the project will consider the cumulative impact of the repeatable attacks to determine the reward. This is because the project cannot prevent the attacker from repeatedly exploiting the vulnerability until all funds are drained and/or other irreversible damage is done. Therefore, this warrants a reward equivalent to 10% of funds at risk, capped at the maximum critical reward. 

__Reward Calculation for High-Level Reports__

High vulnerabilities concerning theft/permanent freezing of unclaimed yield/royalties are rewarded within a range of USD 10 000 to USD 30 000 depending on the funds at risk, capped at the maximum high reward.  

In the event of temporary freezing, the reward doubles from the full frozen value for every additional [24h] that the funds are temporarily frozen, until it reaches the max cap of the high reward. This is because as the duration of the freezing lengthens, the potential for greater damage and subsequent reputational harm intensifies. Thus, by increasing the reward proportionally with the frozen duration, the project ensures stronger incentives for disclosing bugs of this nature.


Flare adheres to the Primacy of Impact for the following levels:

- Smart Contract - Critical
- Smart Contract - High

Primacy of Impact means that priority is given to impact rather than to a specific asset. This encourages security researchers to report on all bugs with an in-scope impact, even if the affected assets are not in scope.

Flare FAssets

Codebase

Documentation