added liquidate and redeem (with protocol fee) (#75)

* added liquidated and redeem (with protocol fee)

* pr comments

* working tests

* protocol liquidation fee configurable

* adding protocol liquidation fee to cli

* justin feedback

* setting fee to 0 for initial deploy

Author: nope-finance

token-lending/cli/src/main.rs

@@ -66,6 +66,8 @@ struct PartialReserveConfig {
     pub borrow_limit: Option<u64>,
     /// Liquidity fee receiver
     pub fee_receiver: Option<Pubkey>,
+    /// Cut of the liquidation bonus that the protocol receives, as a percentage
+    pub protocol_liquidation_fee: Option<u8>,
 }
 
 /// Reserve Fees with optional fields
@@ -646,6 +648,8 @@ fn main() {
             let flash_loan_fee_wad = (flash_loan_fee * WAD as f64) as u64;
 
             let liquidity_fee_receiver_keypair = Keypair::new();
+            let protocol_liquidation_fee =
+                value_of(arg_matches, "protocol_liquidation_fee").unwrap();
 
             let source_liquidity_account = config
                 .rpc_client
@@ -683,6 +687,7 @@ fn main() {
                     deposit_limit,
                     borrow_limit,
                     fee_receiver: liquidity_fee_receiver_keypair.pubkey(),
+                    protocol_liquidation_fee,
                 },
                 source_liquidity_pubkey,
                 source_liquidity_owner_keypair,
@@ -713,6 +718,7 @@ fn main() {
             let deposit_limit = value_of(arg_matches, "deposit_limit");
             let borrow_limit = value_of(arg_matches, "borrow_limit");
             let fee_receiver = pubkey_of(arg_matches, "fee_receiver");
+            let protocol_liquidation_fee = value_of(arg_matches, "protocol_liquidation_fee");
             let pyth_product_pubkey = pubkey_of(arg_matches, "pyth_product");
             let pyth_price_pubkey = pubkey_of(arg_matches, "pyth_price");
             let switchboard_feed_pubkey = pubkey_of(arg_matches, "switchboard_feed");
@@ -738,6 +744,7 @@ fn main() {
                     deposit_limit,
                     borrow_limit,
                     fee_receiver,
+                    protocol_liquidation_fee,
                 },
                 pyth_product_pubkey,
                 pyth_price_pubkey,
@@ -1164,6 +1171,15 @@ fn command_update_reserve(
         reserve.config.fee_receiver = reserve_config.fee_receiver.unwrap();
     }
 
+    if reserve_config.protocol_liquidation_fee.is_some() {
+        println!(
+            "Updating protocol_liquidation_fee from {} to {}",
+            reserve.config.protocol_liquidation_fee,
+            reserve_config.protocol_liquidation_fee.unwrap(),
+        );
+        reserve.config.protocol_liquidation_fee = reserve_config.protocol_liquidation_fee.unwrap();
+    }
+
     let mut new_pyth_product_pubkey = spl_token_lending::NULL_PUBKEY;
     if pyth_price_pubkey.is_some() {
         println!(

token-lending/program/src/instruction.rs

@@ -379,6 +379,35 @@ pub enum LendingInstruction {
         /// Reserve config to update to
         config: ReserveConfig,
     },
+
+    // 17
+    /// Repay borrowed liquidity to a reserve to receive collateral at a discount from an unhealthy
+    /// obligation. Requires a refreshed obligation and reserves.
+    ///
+    /// Accounts expected by this instruction:
+    ///
+    ///   0. `[writable]` Source liquidity token account.
+    ///                     Minted by repay reserve liquidity mint.
+    ///                     $authority can transfer $liquidity_amount.
+    ///   1. `[writable]` Destination collateral token account.
+    ///                     Minted by withdraw reserve collateral mint.
+    ///   2. `[writable]` Destination liquidity token account.
+    ///   3. `[writable]` Repay reserve account - refreshed.
+    ///   4. `[writable]` Repay reserve liquidity supply SPL Token account.
+    ///   5. `[writable]` Withdraw reserve account - refreshed.
+    ///   6. `[writable]` Withdraw reserve collateral SPL Token mint.
+    ///   7. `[writable]` Withdraw reserve collateral supply SPL Token account.
+    ///   8. `[writable]` Withdraw reserve liquidity supply SPL Token account.
+    ///   9. `[writable]` Withdraw reserve liquidity fee receiver account.
+    ///   10 `[writable]` Obligation account - refreshed.
+    ///   11 `[]` Lending market account.
+    ///   12 `[]` Derived lending market authority.
+    ///   13 `[signer]` User transfer authority ($authority).
+    ///   14 `[]` Token program id.
+    LiquidateObligationAndRedeemReserveCollateral {
+        /// Amount of liquidity to repay - u64::MAX for up to 100% of borrowed amount
+        liquidity_amount: u64,
+    },
 }
 
 impl LendingInstruction {
@@ -414,7 +443,8 @@ impl LendingInstruction {
                 let (host_fee_percentage, rest) = Self::unpack_u8(rest)?;
                 let (deposit_limit, rest) = Self::unpack_u64(rest)?;
                 let (borrow_limit, rest) = Self::unpack_u64(rest)?;
-                let (fee_receiver, _) = Self::unpack_pubkey(rest)?;
+                let (fee_receiver, rest) = Self::unpack_pubkey(rest)?;
+                let (protocol_liquidation_fee, _rest) = Self::unpack_u8(rest)?;
                 Self::InitReserve {
                     liquidity_amount,
                     config: ReserveConfig {
@@ -433,6 +463,7 @@ impl LendingInstruction {
                         deposit_limit,
                         borrow_limit,
                         fee_receiver,
+                        protocol_liquidation_fee,
                     },
                 }
             }
@@ -480,20 +511,20 @@ impl LendingInstruction {
                 Self::WithdrawObligationCollateralAndRedeemReserveCollateral { collateral_amount }
             }
             16 => {
-                let (optimal_utilization_rate, _rest) = Self::unpack_u8(rest)?;
-                let (loan_to_value_ratio, _rest) = Self::unpack_u8(_rest)?;
-                let (liquidation_bonus, _rest) = Self::unpack_u8(_rest)?;
-                let (liquidation_threshold, _rest) = Self::unpack_u8(_rest)?;
-                let (min_borrow_rate, _rest) = Self::unpack_u8(_rest)?;
-                let (optimal_borrow_rate, _rest) = Self::unpack_u8(_rest)?;
-                let (max_borrow_rate, _rest) = Self::unpack_u8(_rest)?;
-                let (borrow_fee_wad, _rest) = Self::unpack_u64(_rest)?;
-                let (flash_loan_fee_wad, _rest) = Self::unpack_u64(_rest)?;
-                let (host_fee_percentage, _rest) = Self::unpack_u8(_rest)?;
-                let (deposit_limit, _rest) = Self::unpack_u64(_rest)?;
-                let (borrow_limit, _rest) = Self::unpack_u64(_rest)?;
-                let (fee_receiver, _) = Self::unpack_pubkey(_rest)?;
-
+                let (optimal_utilization_rate, rest) = Self::unpack_u8(rest)?;
+                let (loan_to_value_ratio, rest) = Self::unpack_u8(rest)?;
+                let (liquidation_bonus, rest) = Self::unpack_u8(rest)?;
+                let (liquidation_threshold, rest) = Self::unpack_u8(rest)?;
+                let (min_borrow_rate, rest) = Self::unpack_u8(rest)?;
+                let (optimal_borrow_rate, rest) = Self::unpack_u8(rest)?;
+                let (max_borrow_rate, rest) = Self::unpack_u8(rest)?;
+                let (borrow_fee_wad, rest) = Self::unpack_u64(rest)?;
+                let (flash_loan_fee_wad, rest) = Self::unpack_u64(rest)?;
+                let (host_fee_percentage, rest) = Self::unpack_u8(rest)?;
+                let (deposit_limit, rest) = Self::unpack_u64(rest)?;
+                let (borrow_limit, rest) = Self::unpack_u64(rest)?;
+                let (fee_receiver, rest) = Self::unpack_pubkey(rest)?;
+                let (protocol_liquidation_fee, _rest) = Self::unpack_u8(rest)?;
                 Self::UpdateReserveConfig {
                     config: ReserveConfig {
                         optimal_utilization_rate,
@@ -511,9 +542,14 @@ impl LendingInstruction {
                         deposit_limit,
                         borrow_limit,
                         fee_receiver,
+                        protocol_liquidation_fee,
                     },
                 }
             }
+            17 => {
+                let (liquidity_amount, _rest) = Self::unpack_u64(rest)?;
+                Self::LiquidateObligationAndRedeemReserveCollateral { liquidity_amount }
+            }
             _ => {
                 msg!("Instruction cannot be unpacked");
                 return Err(LendingError::InstructionUnpackError.into());
@@ -609,6 +645,7 @@ impl LendingInstruction {
                         deposit_limit,
                         borrow_limit,
                         fee_receiver,
+                        protocol_liquidation_fee,
                     },
             } => {
                 buf.push(2);
@@ -626,6 +663,7 @@ impl LendingInstruction {
                 buf.extend_from_slice(&deposit_limit.to_le_bytes());
                 buf.extend_from_slice(&borrow_limit.to_le_bytes());
                 buf.extend_from_slice(&fee_receiver.to_bytes());
+                buf.extend_from_slice(&protocol_liquidation_fee.to_le_bytes());
             }
             Self::RefreshReserve => {
                 buf.push(3);
@@ -691,6 +729,11 @@ impl LendingInstruction {
                 buf.extend_from_slice(&config.deposit_limit.to_le_bytes());
                 buf.extend_from_slice(&config.borrow_limit.to_le_bytes());
                 buf.extend_from_slice(&config.fee_receiver.to_bytes());
+                buf.extend_from_slice(&config.protocol_liquidation_fee.to_le_bytes());
+            }
+            Self::LiquidateObligationAndRedeemReserveCollateral { liquidity_amount } => {
+                buf.push(17);
+                buf.extend_from_slice(&liquidity_amount.to_le_bytes());
             }
         }
         buf
@@ -1216,3 +1259,52 @@ pub fn update_reserve_config(
         data: LendingInstruction::UpdateReserveConfig { config }.pack(),
     }
 }
+
+/// Creates a `LiquidateObligationAndRedeemReserveCollateral` instruction
+#[allow(clippy::too_many_arguments)]
+pub fn liquidate_obligation_and_redeem_reserve_collateral(
+    program_id: Pubkey,
+    liquidity_amount: u64,
+    source_liquidity_pubkey: Pubkey,
+    destination_collateral_pubkey: Pubkey,
+    destination_liquidity_pubkey: Pubkey,
+    repay_reserve_pubkey: Pubkey,
+    repay_reserve_liquidity_supply_pubkey: Pubkey,
+    withdraw_reserve_pubkey: Pubkey,
+    withdraw_reserve_collateral_mint_pubkey: Pubkey,
+    withdraw_reserve_collateral_supply_pubkey: Pubkey,
+    withdraw_reserve_liquidity_supply_pubkey: Pubkey,
+    withdraw_reserve_liquidity_fee_receiver_pubkey: Pubkey,
+    obligation_pubkey: Pubkey,
+    lending_market_pubkey: Pubkey,
+    user_transfer_authority_pubkey: Pubkey,
+) -> Instruction {
+    let (lending_market_authority_pubkey, _bump_seed) = Pubkey::find_program_address(
+        &[&lending_market_pubkey.to_bytes()[..PUBKEY_BYTES]],
+        &program_id,
+    );
+    Instruction {
+        program_id,
+        accounts: vec![
+            AccountMeta::new(source_liquidity_pubkey, false),
+            AccountMeta::new(destination_collateral_pubkey, false),
+            AccountMeta::new(destination_liquidity_pubkey, false),
+            AccountMeta::new(repay_reserve_pubkey, false),
+            AccountMeta::new(repay_reserve_liquidity_supply_pubkey, false),
+            AccountMeta::new(withdraw_reserve_pubkey, false),
+            AccountMeta::new(withdraw_reserve_collateral_mint_pubkey, false),
+            AccountMeta::new(withdraw_reserve_collateral_supply_pubkey, false),
+            AccountMeta::new(withdraw_reserve_liquidity_supply_pubkey, false),
+            AccountMeta::new(withdraw_reserve_liquidity_fee_receiver_pubkey, false),
+            AccountMeta::new(obligation_pubkey, false),
+            AccountMeta::new_readonly(lending_market_pubkey, false),
+            AccountMeta::new_readonly(lending_market_authority_pubkey, false),
+            AccountMeta::new_readonly(user_transfer_authority_pubkey, true),
+            AccountMeta::new_readonly(spl_token::id(), false),
+        ],
+        data: LendingInstruction::LiquidateObligationAndRedeemReserveCollateral {
+            liquidity_amount,
+        }
+        .pack(),
+    }
+}