Spacewalk: a Stellar bridge

This repository contains the pallets needed to set up spacewalk as well as a standalone chain configured to run and test the spacewalk bridge.

Overview

Spacewalk is a bridge between Substrate-based parachains and Stellar which enables asset transfers to and from Stellar. This grant application is for developing the Spacewalk protocol and pallet. The Spacewalk bridge is built by the team behind the Pendulum network (an upcoming parachain that connects fiat tokens from across multiple blockchain ecosystems) .

Issue

Issuing refers to transferring funds from Stellar to a Substrate-based chain implementing the spacewalk pallet. It's a two-step process where a user sends assets to a "locking account" (held by a vault client), after which the spacewalk pallet then mints tokens on the Substrate chain.

First, a Stellar account submits a payment transaction sending assets to the Stellar account of a vault. Every vault periodically checks for new transactions of its Stellar account. If it identifies a new transaction, it will report it to the spacewalk pallet of the substrate-based chain it is connected to. The spacewalk pallet then validates the reported transaction and eventually credits the corresponding account on the Substrate chain. The credited account is derived from the public key of the Stellar source account.

Vault Client

Every vault client is supplied with the secret key of a Stellar account to monitor issuing transactions and redeeming funds. The handling of issue requests is implemented in clients/vault/src/deposit.rs. For a specific interval (currently every 5 seconds), the vault client fetches the latest Stellar transaction of its Stellar account. If it identifies a new transaction, i.e., the ID of the latest fetched transaction differs from the one it saw last, it will report this transaction (encoded in XDR representation) to the spacewalk pallet.

Spacewalk Pallet

The spacewalk pallet offers the report_stellar_transaction(transaction_envelope_xdr) extrinsic. The extrinsic expects an encoded Stellar transaction XDR containing a payment operation as an argument. This extrinsic can be called to notify the pallet that a transaction to a vault account has taken place, announcing that it should credit the funds contained in the payment operation to the corresponding account on Substrate chain. The report_stellar_transaction() extrinsic is implemented in pallets/spacewalk/src/lib.rs.

At the moment, the extrinsic does not contain safety checks because, for now, we assume that this extrinsic is only used in a non-malicious way.

Redeem

Redeeming refers to the process of transferring funds back from the Substrate chain to the Stellar network.

The redemption starts with the spacewalk pallet burning a specific amount of tokens a user wants to transfer back to Stellar, which are then released from the "locking account" (held by a vault client) back to the corresponding user account on Stellar.

Spacewalk Pallet

The spacewalk pallet offers the redeem(asset_code, asset_issuer, amount, stellar_vault_pubkey) extrinsic. The asset code and issuer specify the asset that is to be withdrawn. The stellar_vault_pubkey encodes the public key of the vault/locking account that holds the user's funds on Stellar, i.e., the account previously used for issuing the assets on the Substrate chain. After checking if the user has sufficient funds, the spacewalk pallet will burn the specified tokens and emit a RedeemEvent. The RedeemEvent contains details about the redeemed asset and the public keys of the Stellar user account, and locking account/vault responsible for releasing the funds on Stellar. The redeem() extrinsic is implemented in pallets/spacewalk/src/lib.rs.

Vault Client

The vault client listens to the RedeemEvents emitted by the spacewalk pallet. Once it detects a new redeem has taken place, the vault compares its public key to the stellar_vault_id contained in the event to detect if it is expected to act on this event. If it was, it creates and submits a payment transaction transferring the previously locked funds to the Stellar user specified in the redeem event. The handling of redeem events is implemented in clients/vault/src/redeem.rs.

Build and Run

There was a plan to replace Rust nightly version with the stable version.
The default toolchain is set to stable.
However, the pallet currency's feature testing-utils is using mocktopus — a nightly only lib — and will potentially break your IDEs:

error[E0554]: `#![feature]` may not be used on the stable release channel
 --> /.../registry/src/index.crates.io-6f17d22bba15001f/mocktopus_macros-0.7.11/src/lib.rs:6:12
  |
6 | #![feature(proc_macro_diagnostic)]
  |            ^^^^^^^^^^^^^^^^^^^^^

Building and testing is different. The testing-utils feature is for testing only, and requires nightly**.

Run all tests

To run the tests, use the Rust nightly version; minimum is nightly-2024-02-09.
This allows mocktopus to be used freely across all packages during testing.

cargo +nightly test --lib --features standalone-metadata -- --nocapture

Compile and run the testchain

cargo run --bin spacewalk-standalone --release -- --dev

Run testchain without recompiling

./target/release/node-template --dev

cmd-all script

The --all, --all-features and --all-target flags cannot be used, as mentioned previously about the currency pallet's testing-utils feature.
The following commands (executed at the root directory) will FAIL:

• cargo build --all-features
• cargo clippy --all-targets

This "apply to all" script is necessary to execute a command across all packages individually, adding the required conditions to some.
Check the script on how it looks like.

note: This has been tested with only 2 commands in the CI workflow: check and clippy. Other commands might not work.

Development

To ease the maintenance of proper code formatting and good practices, please consider installing the pre-commit hook and/or the pre-push hook contained in this repository.

The pre-commit hook runs rustfmt on all the changed files in a commit, to ensure that changed files are properly formatted before committing. You can install the hook by running the following commands.

.maintain/add-precommit-hook.sh

The pre-push hool runs clippy checks that are also performed in the CI of the repository. These checks need to be successful so the push actually happens. Otherwise, pelase run the corresponding clippy fix command or manually fix the issue.

To install the hook, run:

.maintain/add-prepush-hook.sh

To ignore the checks once the hook has been installed, run git push --no-verify.

Note

You may need to make the hook script executable. Pleas run chmod u+x .git/hooks/pre-push, chmod u+x .git/hooks/pre-commit if necessary.

Releases

To automatically create a new release for Spacewalk, please follow these steps:

• Create a new release branch with the following command:

  git checkout -b release/vX.Y.Z

• Update the version number of all crates in Cargo.toml files. To do this you should use either the .maintain/create_minor_release.sh or .maintain/create_patch_release.sh script. The script will bump the version number of all crates.
• Create a new release commit with the following command:

  git commit -a -m "release: Release vX.Y.Z"

• Create a pull request for the release branch and merge it into the main branch. The title of this PR has to contain the "release:" prefix. This indicates that the CI should create a new release.

Once merged, the CI will create a new release and automatically publish it to GitHub.