cosmos / interchain-security

Interchain Security is an open sourced IBC application which allows cosmos blockchains to lease their proof-of-stake security to one another.
https://cosmos.github.io/interchain-security/
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feat!: only distribute rewards to validators that have been validating a consumer chain for some time #1929

Closed insumity closed 3 months ago

insumity commented 4 months ago

Description

Closes: (partially) https://github.com/cosmos/interchain-security/issues/1926 and https://github.com/informalsystems/interchain-security/issues/27

Problem A validator might opt in to a consumer chain simply to retrieve rewards without validating the consumer chain for too long.

Solution We introduce a height field in ConsumerValidators. This height corresponds to the block height of the provider chain when the consumer validator first became a consumer validator. The set height of a ConsumerValidator remains stable as long as the validator remains a consumer validator. The height of a ConsumerValidator only resets if a validator stops being a consumer validator and later becomes again a consumer validator.

We introduce a new param NumberOfEpochsToStartReceivingRewards and a validator can only start receiving rewards after being a consumer validator for NumberOfEpochsToStartReceivingRewards epochs or after NumberOfEpochsToStartReceivingRewards * BlocksPerEpoch blocks.

Note that at the beginning of a provider chain (e.g., when the block height of the provider is still small), no validator could have been a consumer validator for more than NumberOfEpochsToStartReceivingRewards epochs and hence in this case we distribute rewards to validators, even though they might have not been validating the consumer chain for more than a single epoch.

Finally, note that in a consumer chain that just starts, no validator would receive rewards during the first NumberOfEpochsToStartReceivingRewards epochs. During this time, any rewards sent to the provider from the consumer chain through IBC transfers will be allocated to the community pool.

Testing Two main things are being tested:


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Commits Files that changed from the base of the PR and between 395409128f29dee730d5d9103f0cf18067bb1b7b and d28aba5493be187c2654794f46f9f69184c1d76d.

Walkthrough

This update introduces a new parameter, NumberOfEpochsToStartReceivingRewards, which delays reward distribution to validators until they have been validating for a specified number of blocks. The integration also encompasses adjustments to documentation, tests, and migration scripts to incorporate this parameter and ensure the system correctly reflects validation duration in reward allocations.

Changes

Files Change Summary
.changelog/unreleased/improvements/provider/... Added a summary for changes related to distributing rewards to long-term validating validators.
.changelog/unreleased/state-breaking/provider/... Summarized state-breaking changes related to reward distribution based on validation duration.
docs/docs/validators/withdraw_rewards.md Updated title and added warning about validator reward eligibility based on validation duration.
proto/interchain_security/ccv/provider/v1/provider.proto Introduced new fields in Params and ConsumerValidator messages for reward eligibility and validator height.
tests/integration/distribution.go Renamed and added functions to test reward allocation among validators with different heights.
x/ccv/provider/keeper/distribution.go Added IsEligibleForConsumerRewards function and integrated it into reward allocation and total power computation.
x/ccv/provider/keeper/distribution_test.go Added tests for IsEligibleForConsumerRewards and setting of BlocksPerEpoch parameter in total power computation.
x/ccv/provider/keeper/relay_test.go Added a test to ensure consumer validator heights are maintained during packet queuing.
x/ccv/provider/migrations/migrator.go Updated Migrate5to6 function to call new migration functions for parameters and minimum power.
x/ccv/provider/migrations/v6/migration_test.go Added test to verify parameter migration related to epochs.
x/ccv/provider/migrations/v6/migrations.go Added new function for migrating provider chain parameters.
x/ccv/provider/types/params.go Added and validated new parameter NumberOfEpochsToStartReceivingRewards in Params struct along with default values and key constants.

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