fix: double interest on pending redistribution #151
Merged
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Addresses a bug that was found while reading the code.
The failing scenario was (implemented as test case
testNoDoubleInterestOnPendingRedistribution
):The logs without the fix:
Everything looks good up until immediately post-liquidation. Each Trove's debt doubles as expected, 3 of them get redistributed to D, thus D's debt is 80'000 BOLD.
But then, when D adjusts their interest rate, their debt immediately increases by a whopping 60K! This is an invariant violation; a Trove's debt should not be changed by adjusting the interest rate, unless time also passes inbetween.
The root cause is that we apply the redistribution first — which involves calculating the interest on the debt that's being redistributed — and then perform interest rate calculation on the new debt — which includes debt to which interest has already been added.