DeFi Stablecoin 🪙

Find it on Sepolia TestNet

DSCEngine

Decentralised StableCoin

About

This project is meant to be a stablecoin where users can deposit WETH and WBTC in exchange for a token that will be pegged to the USD.

Protocol

1. Pegged to US Dollar:

   The stablecoin follows Relative Stability by being Pegged or Anchored to the US Dollar. (1 DSC = $1)

2. Collateral:

   Users will be able to mint DSC only after depositing a collateral.

   1. Collateral Type: Exogenous (Crypto): wETH, wBTC
   2. The protocol will be over-collateralized with a 200% margin i.e. to mint $100 worth of DSC, one has to deposit atleast $200 worth of collateral.

3. Liquidation:

   Incase a user becomes undercollateralized, they can be liquidated by other users. The liquidator can partially or completely liquidate a bad user and will earn 10% on the the debt he decides covers, for the undercollateralized user. This bonus is to the incentive for liquidators to keep the protocol healthy and over-collateralized.

4. Protocol Collapse:

   Incase the protocol becomes under-collateralized due to a drastic drop in value of the underlying collateral, a case where the total minted value is more than the total collateral value of the protocol, the protocol will trigger the collapseDsc() sequence, where in, it will auto-redeem all deposited collateral followed by burning all minted coins of all users and render itself collapsed!

Getting Started

Requirements

• git
  • You'll know you did it right if you can run git --version and you see a response like git version x.x.x
• foundry
  • You'll know you did it right if you can run forge --version and you see a response like forge 0.2.0 (816e00b 2023-03-16T00:05:26.396218Z)

Quickstart

git clone https://github.com/alfheimrShiven/defi-stablecoin.git
cd defi-stablecoin
make start

Usage

Start a local node

make anvil

Deploy

This will default to your local node which is running the Anvil chain. You need to have it running in another terminal in order for it to deploy.

make deploy

Deploy - Other Network

See below

Testing

We talk about 4 test tiers in the video.

1. Unit
2. Integration
3. Forked
4. Staging

In this repo we cover #1 and Fuzzing test.

forge test

Test Coverage

forge coverage

and for coverage based testing:

forge coverage --report debug

Deployment to a testnet or mainnet

1. Setup environment variables

You'll want to set your SEPOLIA_RPC_URL and SEPOLIA_PRIVATE_KEY as environment variables. You can add them to a .env file.

• SEPOLIA_PRIVATE_KEY: The private key of your account (like from metamask). NOTE: FOR DEVELOPMENT, PLEASE USE A KEY THAT DOESN'T HAVE ANY REAL FUNDS ASSOCIATED WITH IT.
  • You can learn how to export it here.
• SEPOLIA_RPC_URL: This is url of the sepolia testnet node you're working with. You can get setup with one for free from Alchemy

Optionally, add your ETHERSCAN_API_KEY if you want to verify your contract on Etherscan.

1. Get testnet ETH

Head over to faucets.chain.link and get some testnet ETH. You should see the ETH show up in your metamask.

2. Deploy

make deploy ARGS="--network sepolia"

Scripts

Instead of scripts, we can directly use the cast command to interact with the contract.

For example, on Sepolia:

1. Get some WETH

cast send 0xdd13E55209Fd76AfE204dBda4007C227904f0a81 "deposit()" --value 0.1ether --rpc-url $SEPOLIA_RPC_URL --private-key $SEPOLIA_PRIVATE_KEY

2. Approve the WETH

cast send 0xdd13E55209Fd76AfE204dBda4007C227904f0a81 "approve(address,uint256)" 0x091EA0838eBD5b7ddA2F2A641B068d6D59639b98 1000000000000000000 --rpc-url $SEPOLIA_RPC_URL --private-key $SEPOLIA_PRIVATE_KEY

3. Deposit and Mint DSC

cast send 0x091EA0838eBD5b7ddA2F2A641B068d6D59639b98 "depositCollateralAndMintDsc(address,uint256,uint256)" 0xdd13E55209Fd76AfE204dBda4007C227904f0a81 100000000000000000 10000000000000000 --rpc-url $SEPOLIA_RPC_URL --private-key $SEPOLIA_PRIVATE_KEY

Estimate gas

You can estimate how much gas things cost by running:

forge snapshot

And you'll see an output file called .gas-snapshot

Formatting

To run code formatting:

forge fmt

Thank you!

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