Perennial V2 follows a Factory and BeaconProxy pattern. All of the above factories (with the exception of PayoffFactory) have a beacon proxy implementation at the "implementation" getter function and a factory implementation that is readable via "proxyAdmin.getProxyImplementation(factoryAddress)’’.

Latest implementation deployments can also be found at https://github.com/equilibria-xyz/perennial-v2/tree/main/packages/perennial-deploy/deployments/arbitrum

Though only the proxy contracts are listed as in-scope, current implementation and any further updates to the implementation contracts are considered in scope. When reporting a bug, please make sure to select the relevant proxy smart contract as the target.

Perennial is a DeFi-native derivatives primitive that allows for the creation of two-sided markets that trade exposure to an underlying price feed in a capital efficient manner.

Smart contract fails to deliver promised returns, but doesn’t lose value

Smart contract unable to operate due to lack of token funds

Block stuffing for profit

Theft of gas

Temporary freezing of protocol and/or funds

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

Permanent freezing of funds

Theft of unclaimed yield

Permanent freezing of unclaimed yield

Perennial Codebase

Perennial Documentation

Rewards are distributed according to the impact the vulnerability could otherwise cause based on the Impacts in Scope table further below. 

__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 500 000. 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 25 000 is to be rewarded in order to incentivize security researchers against with holding a bug report.   

__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/equilibria-xyz/perennial-mono/tree/master/packages/perennial/audits](https://github.com/equilibria-xyz/perennial-mono/tree/master/packages/perennial/audits)
- [https://code4rena.com/reports/2021-12-perennial](https://code4rena.com/reports/2021-12-perennial)

__Previous Audits__

Perennial has provided these completed audit review reports for reference. Any unfixed vulnerability mentioned in these reports are not eligible for a reward.
- [https://github.com/equilibria-xyz/perennial-v2/tree/main/audits](https://github.com/equilibria-xyz/perennial-v2/tree/main/audits)


__Proof of Concept (PoC) Requirements__

A PoC is required for the following severity levels:
Critical Smart Contract

All PoCs submitted must comply with the Immunefi-wide [PoC Guidelines and Rules](https://immunefisupport.zendesk.com/hc/en-us/articles/9946217628561-Proof-of-Concept-PoC-Guidelines-and-Rules). Bug report submissions without a PoC when a PoC is required will not be provided with a reward.

__Reward Payment Terms__

Payouts for all bug reports are denominated in USD. Payouts for Medium and Low severity bug reports are handled by the Perennial team directly and are done in USDC. Payments for Critical severity bug reports are done by Sherlock with their bug bounty matching program and are done in USDC.

Critical payouts above USD 50 000 are done by Sherlock and will only be paid out for critical bugs that would result in a loss of funds and can be executed profitably, and this then excludes Sherlock critical bounty payouts for temporary freezing bugs. If further clarification is needed to decide on a Sherlock payout, the coverage agreement between Perennial and Sherlock should be referenced.

Hence, any Critical severity report that does not qualify for a payout from Sherlock will have a maximum payout of USD 50 000, paid out by the Perennial team.

Any loss of funds or yield due to improper product parameters set by the product owner are considered out of scope of the program. The settable product parameters can be viewed here: 
- MarketParameter: [https://github.com/equilibria-xyz/perennial-v2/blob/main/packages/perennial/contracts/types/MarketParameter.sol](https://github.com/equilibria-xyz/perennial-v2/blob/main/packages/perennial/contracts/types/MarketParameter.sol)
- RiskParameter: [https://github.com/equilibria-xyz/perennial-v2/blob/main/packages/perennial/contracts/types/RiskParameter.sol](https://github.com/equilibria-xyz/perennial-v2/blob/main/packages/perennial/contracts/types/RiskParameter.sol)