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Copy pathshort_position_lifecycle.rs
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516 lines (446 loc) · 20.5 KB
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//! Integration test: short position lifecycle where collateral and PnL are
//! denominated entirely in the short token (USDC), exercised through the real
//! `execute_order` flow (issue #264).
//!
//! Scenario (winning short):
//! 1. Alice (LP) deposits 20,000 USDC into the ETH/USD market's short side.
//! 2. Bob opens a 5 ETH short position (10,000 USD notional) at $2000/ETH,
//! with 1,000 USDC collateral.
//! 3. Price moves to $1,800/ETH — the short is $1,000 in unrealised profit.
//! 4. Bob closes the full position via a real MarketDecrease `execute_order`.
//! 5. Bob receives 1,000 USDC collateral + 1,000 USDC PnL = 2,000 USDC.
//!
//! Assertions:
//! - USDC pool decreases by exactly 1,000 (the PnL paid out).
//! - Short OI (for the USDC collateral bucket) decreases to 0.
//! - Position is removed from storage.
//! - No ETH (long token) pool balance changes — a short only ever touches USDC.
//!
//! A second test covers the losing-short case: price rises, so Bob loses his
//! USDC collateral and the pool gains it.
#![cfg(test)]
use data_store::{DataStore, DataStoreClient as DsClient};
use deposit_handler::{DepositHandler, DepositHandlerClient as DHClient};
use deposit_vault::{DepositVault, DepositVaultClient as DVClient};
use gmx_keys::{
market_index_token_key, market_long_token_key, market_short_token_key, open_interest_key,
pool_amount_key, position_key, roles,
};
use gmx_math::FLOAT_PRECISION;
use gmx_types::{CreateDepositParams, CreateOrderParams, OrderType, TokenPrice};
use market_token::{MarketToken, MarketTokenClient as MtClient};
use oracle::{Oracle, OracleClient as OClient};
use order_handler::{OrderHandler, OrderHandlerClient as OHClient};
use order_vault::{OrderVault, OrderVaultClient as OVClient};
use role_store::{RoleStore, RoleStoreClient as RsClient};
use soroban_sdk::{testutils::Address as _, token::StellarAssetClient, Address, Env, Vec};
use withdrawal_handler::{WithdrawalHandler, WithdrawalHandlerClient as WHClient};
use withdrawal_vault::{WithdrawalVault, WithdrawalVaultClient as WVClient};
const ONE_TOKEN: i128 = 10_000_000; // 7-decimal Stellar precision
const ONE_USD: i128 = FLOAT_PRECISION;
struct World {
env: Env,
admin: Address,
keeper: Address,
rs: Address,
ds: Address,
oracle: Address,
dep_vault: Address,
wth_vault: Address,
ord_vault: Address,
dep_handler: Address,
wth_handler: Address,
ord_handler: Address,
market_tk: Address,
long_tk: Address, // WETH
short_tk: Address, // USDC
index_tk: Address, // ETH price feed token
}
fn setup() -> World {
let env = Env::default();
env.mock_all_auths();
env.cost_estimate().budget().reset_unlimited();
let admin = Address::generate(&env);
let keeper = Address::generate(&env);
// Role store
let rs = env.register(RoleStore, ());
let rs_c = RsClient::new(&env, &rs);
rs_c.initialize(&admin);
rs_c.grant_role(&admin, &admin, &roles::controller(&env));
rs_c.grant_role(&admin, &keeper, &roles::order_keeper(&env));
// Data store
let ds = env.register(DataStore, ());
DsClient::new(&env, &ds).initialize(&admin, &rs);
// Oracle
let oracle_addr = env.register(Oracle, ());
let passphrase = soroban_sdk::Bytes::from_slice(&env, b"Test SDF Network ; September 2015");
OClient::new(&env, &oracle_addr).initialize(&admin, &rs, &ds, &passphrase);
// Vaults
let dep_vault = env.register(DepositVault, ());
DVClient::new(&env, &dep_vault).initialize(&admin, &rs);
let wth_vault = env.register(WithdrawalVault, ());
WVClient::new(&env, &wth_vault).initialize(&admin, &rs);
let ord_vault = env.register(OrderVault, ());
OVClient::new(&env, &ord_vault).initialize(&admin, &rs);
// Market token (GM)
let market_tk = env.register(MarketToken, ());
MtClient::new(&env, &market_tk).initialize(
&admin,
&rs,
&7u32,
&soroban_sdk::String::from_str(&env, "GMX ETH/USD Market"),
&soroban_sdk::String::from_str(&env, "GM"),
);
// Underlying tokens
let long_tk = env
.register_stellar_asset_contract_v2(admin.clone())
.address();
let short_tk = env
.register_stellar_asset_contract_v2(admin.clone())
.address();
let index_tk = Address::generate(&env);
// Handlers
let dep_handler = env.register(DepositHandler, ());
DHClient::new(&env, &dep_handler).initialize(&admin, &rs, &ds, &oracle_addr, &dep_vault);
let wth_handler = env.register(WithdrawalHandler, ());
WHClient::new(&env, &wth_handler).initialize(&admin, &rs, &ds, &oracle_addr, &wth_vault);
let ord_handler = env.register(OrderHandler, ());
OHClient::new(&env, &ord_handler).initialize(&admin, &rs, &ds, &oracle_addr, &ord_vault);
// Grant CONTROLLER to all handlers so they can write to data_store and market_token
rs_c.grant_role(&admin, &dep_handler, &roles::controller(&env));
rs_c.grant_role(&admin, &wth_handler, &roles::controller(&env));
rs_c.grant_role(&admin, &ord_handler, &roles::controller(&env));
// Register market in data_store
let ds_c = DsClient::new(&env, &ds);
ds_c.set_address(&admin, &market_index_token_key(&env, &market_tk), &index_tk);
ds_c.set_address(&admin, &market_long_token_key(&env, &market_tk), &long_tk);
ds_c.set_address(&admin, &market_short_token_key(&env, &market_tk), &short_tk);
World {
env,
admin,
keeper,
rs,
ds,
oracle: oracle_addr,
dep_vault,
wth_vault,
ord_vault,
dep_handler,
wth_handler,
ord_handler,
market_tk,
long_tk,
short_tk,
index_tk,
}
}
fn set_prices(w: &World, eth_usd: i128) {
OClient::new(&w.env, &w.oracle).set_prices_simple(
&w.keeper,
&Vec::from_array(
&w.env,
[
TokenPrice {
token: w.long_tk.clone(),
min: eth_usd * ONE_USD,
max: eth_usd * ONE_USD,
},
TokenPrice {
token: w.short_tk.clone(),
min: ONE_USD,
max: ONE_USD,
},
TokenPrice {
token: w.index_tk.clone(),
min: eth_usd * ONE_USD,
max: eth_usd * ONE_USD,
},
],
),
);
}
/// LP deposits `usdc_amount` (whole USDC units) into the short side of the market only.
fn lp_deposit_short_only(w: &World, alice: &Address, usdc_amount: i128) {
StellarAssetClient::new(&w.env, &w.short_tk).mint(alice, &(usdc_amount * ONE_TOKEN));
let dep_key = DHClient::new(&w.env, &w.dep_handler).create_deposit(
alice,
&CreateDepositParams {
receiver: alice.clone(),
market: w.market_tk.clone(),
initial_long_token: w.long_tk.clone(),
initial_short_token: w.short_tk.clone(),
long_token_amount: 0,
short_token_amount: usdc_amount * ONE_TOKEN,
min_market_tokens: 1,
execution_fee: 0,
},
);
DHClient::new(&w.env, &w.dep_handler).execute_deposit(&w.keeper, &dep_key);
}
#[test]
fn short_position_lifecycle_winning_short_pays_pnl_from_pool() {
let w = setup();
let env = &w.env;
let ds_c = DsClient::new(env, &w.ds);
let alice = Address::generate(env);
let bob = Address::generate(env);
// ── Step 1: Alice (LP) deposits 20,000 USDC into the short side ──────────
set_prices(&w, 2000);
lp_deposit_short_only(&w, &alice, 20_000);
let long_pool_before_open = ds_c.get_u128(&pool_amount_key(env, &w.market_tk, &w.long_tk));
let short_pool_after_deposit = ds_c.get_u128(&pool_amount_key(env, &w.market_tk, &w.short_tk));
assert_eq!(long_pool_before_open, 0, "no long-side liquidity was ever deposited");
assert!(short_pool_after_deposit > 0, "short pool must reflect Alice's USDC deposit");
// ── Step 2: Bob opens a 5 ETH short (10,000 USD notional) with 1,000 USDC collateral
StellarAssetClient::new(env, &w.short_tk).mint(&bob, &(1_000 * ONE_TOKEN));
StellarAssetClient::new(env, &w.short_tk).transfer(&bob, &w.ord_vault, &(1_000 * ONE_TOKEN));
set_prices(&w, 2000);
let open_key = OHClient::new(env, &w.ord_handler).create_order(
&bob,
&CreateOrderParams {
receiver: bob.clone(),
market: w.market_tk.clone(),
initial_collateral_token: w.short_tk.clone(),
swap_path: Vec::new(env),
size_delta_usd: 10_000 * ONE_USD, // 5 ETH notional at $2000
collateral_delta_amount: 1_000 * ONE_TOKEN,
trigger_price: 0,
acceptable_price: 1_900 * ONE_USD, // shorts accept a price no lower than this
execution_fee: 0,
min_output_amount: 0,
order_type: OrderType::MarketIncrease,
is_long: false,
expiry_ledger: None,
},
);
OHClient::new(env, &w.ord_handler).execute_order(&w.keeper, &open_key);
// Position must exist
let pos_key = position_key(env, &bob, &w.market_tk, &w.short_tk, false);
let pos = OHClient::new(env, &w.ord_handler)
.get_position(&pos_key)
.expect("Bob must have an open short position after MarketIncrease");
assert!(pos.size_in_usd > 0, "position size must be nonzero");
assert!(!pos.is_long, "position must be recorded as short");
let short_oi_key = open_interest_key(env, &w.market_tk, &w.short_tk, false);
let short_oi_after_open = ds_c.get_u128(&short_oi_key);
assert!(short_oi_after_open > 0, "short OI must reflect the newly opened position");
let long_pool_after_open = ds_c.get_u128(&pool_amount_key(env, &w.market_tk, &w.long_tk));
assert_eq!(long_pool_after_open, 0, "opening a short must never touch the ETH pool");
// ── Step 3: Price falls to $1,800 — the short is $1,000 in unrealised profit
set_prices(&w, 1800);
let short_pool_before_close = ds_c.get_u128(&pool_amount_key(env, &w.market_tk, &w.short_tk));
let bob_usdc_before_close = StellarAssetClient::new(env, &w.short_tk).balance(&bob);
// ── Step 4: Bob closes the full position ──────────────────────────────────
let close_key = OHClient::new(env, &w.ord_handler).create_order(
&bob,
&CreateOrderParams {
receiver: bob.clone(),
market: w.market_tk.clone(),
initial_collateral_token: w.short_tk.clone(),
swap_path: Vec::new(env),
size_delta_usd: pos.size_in_usd, // full close
collateral_delta_amount: pos.collateral_amount,
trigger_price: 0,
acceptable_price: 1_900 * ONE_USD,
execution_fee: 0,
min_output_amount: 0,
order_type: OrderType::MarketDecrease,
is_long: false,
expiry_ledger: None,
},
);
OHClient::new(env, &w.ord_handler).execute_order(&w.keeper, &close_key);
// ── Assertions ─────────────────────────────────────────────────────────────
// Position removed from storage.
let pos_after = OHClient::new(env, &w.ord_handler).get_position(&pos_key);
assert!(pos_after.is_none(), "Bob's position must be cleared after full close");
// Short OI decreases to 0.
let short_oi_after_close = ds_c.get_u128(&short_oi_key);
assert_eq!(short_oi_after_close, 0, "short OI must return to 0 after full close");
// USDC pool decreases by exactly 1,000 (the PnL paid out).
let short_pool_after_close = ds_c.get_u128(&pool_amount_key(env, &w.market_tk, &w.short_tk));
let pool_decrease = short_pool_before_close - short_pool_after_close;
assert_eq!(
pool_decrease,
(1_000 * ONE_TOKEN) as u128,
"USDC pool must decrease by exactly the 1,000 USDC PnL paid out to Bob"
);
// No ETH pool balance changes — a short uses only USDC.
let long_pool_after_close = ds_c.get_u128(&pool_amount_key(env, &w.market_tk, &w.long_tk));
assert_eq!(long_pool_after_close, 0, "closing a short must never touch the ETH pool");
// Bob receives 1,000 USDC collateral + 1,000 USDC PnL = 2,000 USDC.
let bob_usdc_after_close = StellarAssetClient::new(env, &w.short_tk).balance(&bob);
let bob_payout = bob_usdc_after_close - bob_usdc_before_close;
assert_eq!(
bob_payout,
2_000 * ONE_TOKEN,
"Bob must receive his 1,000 USDC collateral plus 1,000 USDC PnL"
);
}
// Issue #274: position owner can delegate the payout of a closed position to
// a separate recipient address (e.g. a cold-storage wallet) via the existing
// `receiver` field on CreateOrderParams — the auth check still applies to the
// order's caller/owner (Bob), not the recipient.
#[test]
fn short_position_lifecycle_close_pays_delegated_recipient_not_owner() {
let w = setup();
let env = &w.env;
let alice = Address::generate(env);
let bob = Address::generate(env);
let cold_wallet = Address::generate(env);
set_prices(&w, 2000);
lp_deposit_short_only(&w, &alice, 20_000);
StellarAssetClient::new(env, &w.short_tk).mint(&bob, &(1_000 * ONE_TOKEN));
StellarAssetClient::new(env, &w.short_tk).transfer(&bob, &w.ord_vault, &(1_000 * ONE_TOKEN));
set_prices(&w, 2000);
let open_key = OHClient::new(env, &w.ord_handler).create_order(
&bob,
&CreateOrderParams {
receiver: bob.clone(),
market: w.market_tk.clone(),
initial_collateral_token: w.short_tk.clone(),
swap_path: Vec::new(env),
size_delta_usd: 10_000 * ONE_USD,
collateral_delta_amount: 1_000 * ONE_TOKEN,
trigger_price: 0,
acceptable_price: 1_900 * ONE_USD,
execution_fee: 0,
min_output_amount: 0,
order_type: OrderType::MarketIncrease,
is_long: false,
expiry_ledger: None,
},
);
OHClient::new(env, &w.ord_handler).execute_order(&w.keeper, &open_key);
let pos_key = position_key(env, &bob, &w.market_tk, &w.short_tk, false);
let pos = OHClient::new(env, &w.ord_handler)
.get_position(&pos_key)
.expect("Bob must have an open short position after MarketIncrease");
set_prices(&w, 1800);
let bob_usdc_before_close = StellarAssetClient::new(env, &w.short_tk).balance(&bob);
let cold_wallet_usdc_before_close = StellarAssetClient::new(env, &w.short_tk).balance(&cold_wallet);
// Bob (the position owner) closes, but names cold_wallet as receiver.
let close_key = OHClient::new(env, &w.ord_handler).create_order(
&bob,
&CreateOrderParams {
receiver: cold_wallet.clone(),
market: w.market_tk.clone(),
initial_collateral_token: w.short_tk.clone(),
swap_path: Vec::new(env),
size_delta_usd: pos.size_in_usd,
collateral_delta_amount: pos.collateral_amount,
trigger_price: 0,
acceptable_price: 1_900 * ONE_USD,
execution_fee: 0,
min_output_amount: 0,
order_type: OrderType::MarketDecrease,
is_long: false,
expiry_ledger: None,
},
);
OHClient::new(env, &w.ord_handler).execute_order(&w.keeper, &close_key);
let bob_usdc_after_close = StellarAssetClient::new(env, &w.short_tk).balance(&bob);
let cold_wallet_usdc_after_close = StellarAssetClient::new(env, &w.short_tk).balance(&cold_wallet);
assert_eq!(
bob_usdc_after_close, bob_usdc_before_close,
"Bob's own balance must be unchanged — the payout was delegated away from him"
);
assert_eq!(
cold_wallet_usdc_after_close - cold_wallet_usdc_before_close,
2_000 * ONE_TOKEN,
"cold_wallet must receive the full 2,000 USDC payout (collateral + PnL) instead of Bob"
);
}
#[test]
fn short_position_lifecycle_losing_short_forfeits_collateral_to_pool() {
let w = setup();
let env = &w.env;
let ds_c = DsClient::new(env, &w.ds);
let alice = Address::generate(env);
let bob = Address::generate(env);
// ── Step 1: Alice (LP) deposits 20,000 USDC into the short side ──────────
set_prices(&w, 2000);
lp_deposit_short_only(&w, &alice, 20_000);
// ── Step 2: Bob opens a 5 ETH short (10,000 USD notional) with 1,000 USDC collateral
StellarAssetClient::new(env, &w.short_tk).mint(&bob, &(1_000 * ONE_TOKEN));
StellarAssetClient::new(env, &w.short_tk).transfer(&bob, &w.ord_vault, &(1_000 * ONE_TOKEN));
set_prices(&w, 2000);
let open_key = OHClient::new(env, &w.ord_handler).create_order(
&bob,
&CreateOrderParams {
receiver: bob.clone(),
market: w.market_tk.clone(),
initial_collateral_token: w.short_tk.clone(),
swap_path: Vec::new(env),
size_delta_usd: 10_000 * ONE_USD,
collateral_delta_amount: 1_000 * ONE_TOKEN,
trigger_price: 0,
// Opening a short: acceptable_price is the minimum entry price Bob will accept.
acceptable_price: 1_900 * ONE_USD,
execution_fee: 0,
min_output_amount: 0,
order_type: OrderType::MarketIncrease,
is_long: false,
expiry_ledger: None,
},
);
OHClient::new(env, &w.ord_handler).execute_order(&w.keeper, &open_key);
let pos_key = position_key(env, &bob, &w.market_tk, &w.short_tk, false);
let pos = OHClient::new(env, &w.ord_handler)
.get_position(&pos_key)
.expect("Bob must have an open short position after MarketIncrease");
let short_oi_key = open_interest_key(env, &w.market_tk, &w.short_tk, false);
assert!(ds_c.get_u128(&short_oi_key) > 0, "short OI must reflect the newly opened position");
// ── Step 3: Price RISES to $2,200 — the short is now $1,000 in unrealised loss
set_prices(&w, 2200);
let short_pool_before_close = ds_c.get_u128(&pool_amount_key(env, &w.market_tk, &w.short_tk));
let bob_usdc_before_close = StellarAssetClient::new(env, &w.short_tk).balance(&bob);
// ── Step 4: Bob closes the full position, forfeiting his collateral ──────
let close_key = OHClient::new(env, &w.ord_handler).create_order(
&bob,
&CreateOrderParams {
receiver: bob.clone(),
market: w.market_tk.clone(),
initial_collateral_token: w.short_tk.clone(),
swap_path: Vec::new(env),
size_delta_usd: pos.size_in_usd,
collateral_delta_amount: pos.collateral_amount,
trigger_price: 0,
// Bob is stopping his loss: he must accept a price up to (and including)
// the current, worse $2,200 execution price.
acceptable_price: 2_300 * ONE_USD,
execution_fee: 0,
min_output_amount: 0,
order_type: OrderType::MarketDecrease,
is_long: false,
expiry_ledger: None,
},
);
OHClient::new(env, &w.ord_handler).execute_order(&w.keeper, &close_key);
// ── Assertions ─────────────────────────────────────────────────────────────
// Position removed from storage.
let pos_after = OHClient::new(env, &w.ord_handler).get_position(&pos_key);
assert!(pos_after.is_none(), "Bob's position must be cleared after full close");
// Short OI decreases to 0.
assert_eq!(ds_c.get_u128(&short_oi_key), 0, "short OI must return to 0 after full close");
// USDC pool GAINS Bob's forfeited collateral (his $1,000 loss).
let short_pool_after_close = ds_c.get_u128(&pool_amount_key(env, &w.market_tk, &w.short_tk));
let pool_increase = short_pool_after_close - short_pool_before_close;
assert_eq!(
pool_increase,
(1_000 * ONE_TOKEN) as u128,
"USDC pool must gain exactly the 1,000 USDC Bob lost"
);
// No ETH pool balance changes — a short uses only USDC.
assert_eq!(
ds_c.get_u128(&pool_amount_key(env, &w.market_tk, &w.long_tk)),
0,
"closing a short must never touch the ETH pool"
);
// Bob receives nothing back — his entire 1,000 USDC collateral is forfeited.
let bob_usdc_after_close = StellarAssetClient::new(env, &w.short_tk).balance(&bob);
assert_eq!(
bob_usdc_after_close, bob_usdc_before_close,
"Bob must receive no payout after losing his full collateral"
);
}