feat: modify por calculation, add tests

src/functions/bitcoin/bitcoin-functions.ts

@@ -1,3 +1,4 @@
+import { hexToBytes } from '@noble/hashes/utils';
 import {
   Address,
   OutScript,
@@ -428,6 +429,15 @@ export function getValueMatchingOutputFromTransaction(
   return valueMatchingTransactionOutput;
 }
 
+export function getScriptMatchingOutputFromTransaction(
+  bitcoinTransaction: BitcoinTransaction,
+  script: Uint8Array
+): BitcoinTransactionVectorOutput | undefined {
+  return bitcoinTransaction.vout.find(output =>
+    validateScript(script, hexToBytes(output.scriptpubkey))
+  );
+}
+
 export function validateScript(script: Uint8Array, outputScript: Uint8Array): boolean {
   return (
     outputScript.length === script.length &&

src/functions/bitcoin/bitcoin-request-functions.ts

@@ -12,6 +12,7 @@ export async function fetchBitcoinTransaction(
   bitcoinBlockchainAPI: string
 ): Promise<BitcoinTransaction> {
   try {
+    console.log('txID: ', txID);
     const bitcoinBlockchainAPITransactionEndpoint = `${bitcoinBlockchainAPI}/tx/${txID}`;
 
     const response = await fetch(bitcoinBlockchainAPITransactionEndpoint);

src/functions/proof-of-reserve/proof-of-reserve-functions.ts

@@ -0,0 +1,67 @@
+import { Network } from 'bitcoinjs-lib';
+import { RawVault } from 'src/models/ethereum-models.js';
+
+import {
+  createTaprootMultisigPayment,
+  deriveUnhardenedPublicKey,
+  getScriptMatchingOutputFromTransaction,
+  getUnspendableKeyCommittedToUUID,
+} from '../bitcoin/bitcoin-functions.js';
+import {
+  checkBitcoinTransactionConfirmations,
+  fetchBitcoinTransaction,
+} from '../bitcoin/bitcoin-request-functions.js';
+
+export async function verifyVaultDeposit(
+  vault: RawVault,
+  attestorGroupPublicKey: Buffer,
+  bitcoinBlockchainBlockHeight: number,
+  bitcoinBlockchainAPI: string,
+  bitcoinNetwork: Network
+): Promise<boolean> {
+  try {
+    const fundingTransaction = await fetchBitcoinTransaction(
+      vault.fundingTxId,
+      bitcoinBlockchainAPI
+    );
+
+    const isFundingTransactionConfirmed = await checkBitcoinTransactionConfirmations(
+      fundingTransaction,
+      bitcoinBlockchainBlockHeight
+    );
+
+    if (!isFundingTransactionConfirmed) {
+      return false;
+    }
+
+    const unspendableKeyCommittedToUUID = deriveUnhardenedPublicKey(
+      getUnspendableKeyCommittedToUUID(vault.uuid, bitcoinNetwork),
+      bitcoinNetwork
+    );
+
+    const taprootMultisigPayment = createTaprootMultisigPayment(
+      unspendableKeyCommittedToUUID,
+      attestorGroupPublicKey,
+      Buffer.from(vault.taprootPubKey, 'hex'),
+      bitcoinNetwork
+    );
+
+    const vaultTransactionOutput = getScriptMatchingOutputFromTransaction(
+      fundingTransaction,
+      taprootMultisigPayment.script
+    );
+
+    if (!vaultTransactionOutput) {
+      return false;
+    }
+
+    if (vaultTransactionOutput.value !== vault.valueLocked.toNumber()) {
+      return false;
+    }
+
+    return true;
+  } catch (error) {
+    console.log(`Error verifying Vault Deposit: ${error}`);
+    return false;
+  }
+}

src/proof-of-reserve-handlers/proof-of-reserve-handler.ts

@@ -1,18 +1,8 @@
-import { hex } from '@scure/base';
 import { Network } from 'bitcoinjs-lib';
 
-import {
-  createTaprootMultisigPayment,
-  deriveUnhardenedPublicKey,
-  getUnspendableKeyCommittedToUUID,
-  getValueMatchingOutputFromTransaction,
-  validateScript,
-} from '../functions/bitcoin/bitcoin-functions.js';
-import {
-  checkBitcoinTransactionConfirmations,
-  fetchBitcoinBlockchainBlockHeight,
-  fetchBitcoinTransaction,
-} from '../functions/bitcoin/bitcoin-request-functions.js';
+import { deriveUnhardenedPublicKey } from '../functions/bitcoin/bitcoin-functions.js';
+import { fetchBitcoinBlockchainBlockHeight } from '../functions/bitcoin/bitcoin-request-functions.js';
+import { verifyVaultDeposit } from '../functions/proof-of-reserve/proof-of-reserve-functions.js';
 import { RawVault } from '../models/ethereum-models.js';
 
 export class ProofOfReserveHandler {
@@ -30,51 +20,6 @@ export class ProofOfReserveHandler {
     this.attestorGroupPublicKey = attestorGroupPublicKey;
   }
 
-  async verifyVaultDeposit(
-    vault: RawVault,
-    attestorGroupPublicKey: Buffer,
-    bitcoinBlockchainBlockHeight: number
-  ): Promise<boolean> {
-    try {
-      const fundingTransaction = await fetchBitcoinTransaction(
-        vault.fundingTxId,
-        this.bitcoinBlockchainAPI
-      );
-      const isFundingTransactionConfirmed = await checkBitcoinTransactionConfirmations(
-        fundingTransaction,
-        bitcoinBlockchainBlockHeight
-      );
-
-      if (!isFundingTransactionConfirmed) {
-        return false;
-      }
-
-      const vaultTransactionOutput = getValueMatchingOutputFromTransaction(
-        fundingTransaction,
-        vault.valueLocked.toNumber()
-      );
-
-      const unspendableKeyCommittedToUUID = deriveUnhardenedPublicKey(
-        getUnspendableKeyCommittedToUUID(vault.uuid, this.bitcoinNetwork),
-        this.bitcoinNetwork
-      );
-      const taprootMultisigPayment = createTaprootMultisigPayment(
-        unspendableKeyCommittedToUUID,
-        attestorGroupPublicKey,
-        Buffer.from(vault.taprootPubKey, 'hex'),
-        this.bitcoinNetwork
-      );
-
-      return validateScript(
-        taprootMultisigPayment.script,
-        hex.decode(vaultTransactionOutput.scriptpubkey)
-      );
-    } catch (error) {
-      console.error(`Error verifying Vault Deposit: ${error}`);
-      return false;
-    }
-  }
-
   async calculateProofOfReserve(vaults: RawVault[]): Promise<number> {
     const bitcoinBlockchainBlockHeight = await fetchBitcoinBlockchainBlockHeight(
       this.bitcoinBlockchainAPI
@@ -84,12 +29,15 @@ export class ProofOfReserveHandler {
       this.attestorGroupPublicKey,
       this.bitcoinNetwork
     );
+
     const verifiedDeposits = await Promise.all(
       vaults.map(async vault => {
-        return (await this.verifyVaultDeposit(
+        return (await verifyVaultDeposit(
           vault,
           derivedAttestorGroupPublicKey,
-          bitcoinBlockchainBlockHeight
+          bitcoinBlockchainBlockHeight,
+          this.bitcoinBlockchainAPI,
+          this.bitcoinNetwork
         )) === true
           ? vault.valueLocked.toNumber()
           : 0;

tests/mocks/api.test.constants.ts

@@ -0,0 +1,2 @@
+export const TEST_REGTEST_BITCOIN_BLOCKCHAIN_API = 'https://devnet.dlc.link/electrs';
+export const TEST_TESTNET_BITCOIN_BLOCKCHAIN_API = 'https://testnet.dlc.link/electrs';

tests/mocks/attestor.test.constants.ts

@@ -0,0 +1,8 @@
+export const TEST_REGTEST_ATTESTOR_EXTENDED_GROUP_PUBLIC_KEY_1 =
+  'tpubDDqN2CmTDKaGeqXMayfCZEvjZqntifi4r1ztmRWsGuE1VE4bosR3mBKQwVaCxZcmg8R1nHDMDzDmzjoccBMgwZV1hhz51tAXVnhjABCQcwA';
+
+export const TEST_TESTNET_ATTESTOR_EXTENDED_GROUP_PUBLIC_KEY_1 =
+  'tpubDDRekL64eJJav32TLhNhG59qra7wAMaei8YMGXNiJE8ksdYrKgvaFM1XG6JrSt31W97XryScrX37RUEujjZT4qScNf8Zu1JxWj4VYkwz4rU';
+
+export const TEST_TESTNET_ATTESTOR_UNHARDENED_DERIVED_PUBLIC_KEY_1 =
+  '027eda4d625f781dcc98bf68901360fdaaacce8ed466096c1dfe4865209b28c058';

tests/mocks/bitcoin.test.constants.ts

@@ -0,0 +1,2 @@
+export const TEST_BITCOIN_BLOCKCHAIN_BLOCK_HEIGHT_1 = 2867441;
+export const TEST_BITCOIN_BLOCKCHAIN_BLOCK_HEIGHT_2 = 2867285;

tests/mocks/constants.ts

@@ -1,6 +1,7 @@
 import { regtest } from 'bitcoinjs-lib/src/networks.js';
 import { BigNumber } from 'ethers';
 
+import { BitcoinTransaction } from '../../src/models/bitcoin-models.js';
 import { RawVault } from '../../src/models/ethereum-models.js';
 
 // Bitcoin
@@ -46,5 +47,81 @@ export const TEST_REGTEST_ATTESTOR_APIS = [
   'https://devnet.dlc.link/attestor-2',
   'https://devnet.dlc.link/attestor-3',
 ];
-export const TEST_REGTEST_ATTESTOR_EXTENDED_GROUP_PUBLIC_KEY =
-  'tpubDDqN2CmTDKaGeqXMayfCZEvjZqntifi4r1ztmRWsGuE1VE4bosR3mBKQwVaCxZcmg8R1nHDMDzDmzjoccBMgwZV1hhz51tAXVnhjABCQcwA';
+
+export const TEST_TESTNET_FUNDING_TRANSACTION: BitcoinTransaction = {
+  txid: '4cf5c2954c84bf5225d98ef014aa97bbfa0f05d56b5749782fcd8af8b9d505a5',
+  version: 2,
+  locktime: 0,
+  vin: [
+    {
+      txid: 'cefbeafc3e50618a59646ba6e7b3bba8f15b3e2551570af98182f4234586d085',
+      vout: 2,
+      prevout: {
+        scriptpubkey: '5120192d65c33b86bc129d606c12f0183569d42732d59cad3bf208a9a9fd3b138248',
+        scriptpubkey_asm:
+          'OP_PUSHNUM_1 OP_PUSHBYTES_32 192d65c33b86bc129d606c12f0183569d42732d59cad3bf208a9a9fd3b138248',
+        scriptpubkey_type: 'v1_p2tr',
+        scriptpubkey_address: 'tb1prykktsems67p98tqdsf0qxp4d82zwvk4njknhusg4x5l6wcnsfyqar32mq',
+        value: 71607616,
+      },
+      scriptsig: '',
+      scriptsig_asm: '',
+      witness: [
+        'd4ad3523fdc9ec709e8bf2ecadd56c9266f9c57bccb5d165cd57dc815a88de34957764482a6fab3897ce7be2677168f69be93d799021b502899b556436c3f6bb',
+      ],
+      is_coinbase: false,
+      sequence: 4294967280,
+    },
+  ],
+  vout: [
+    {
+      scriptpubkey: '51206d7e5019c795d05fd3df81713069aa3a309e912a61555ab3ebd6e477f42c1f70',
+      scriptpubkey_asm:
+        'OP_PUSHNUM_1 OP_PUSHBYTES_32 6d7e5019c795d05fd3df81713069aa3a309e912a61555ab3ebd6e477f42c1f70',
+      scriptpubkey_type: 'v1_p2tr',
+      scriptpubkey_address: 'tb1pd4l9qxw8jhg9l57ls9cnq6d28gcfayf2v9244vlt6mj80apvracqgdt090',
+      value: 10000000,
+    },
+    {
+      scriptpubkey: '0014f28ec1a3e3df0240b98582ca7754e6948e9bf930',
+      scriptpubkey_asm: 'OP_0 OP_PUSHBYTES_20 f28ec1a3e3df0240b98582ca7754e6948e9bf930',
+      scriptpubkey_type: 'v0_p2wpkh',
+      scriptpubkey_address: 'tb1q728vrglrmupypwv9st98w48xjj8fh7fs8mrdre',
+      value: 100000,
+    },
+    {
+      scriptpubkey: '5120192d65c33b86bc129d606c12f0183569d42732d59cad3bf208a9a9fd3b138248',
+      scriptpubkey_asm:
+        'OP_PUSHNUM_1 OP_PUSHBYTES_32 192d65c33b86bc129d606c12f0183569d42732d59cad3bf208a9a9fd3b138248',
+      scriptpubkey_type: 'v1_p2tr',
+      scriptpubkey_address: 'tb1prykktsems67p98tqdsf0qxp4d82zwvk4njknhusg4x5l6wcnsfyqar32mq',
+      value: 61490226,
+    },
+  ],
+  size: 236,
+  weight: 740,
+  fee: 17390,
+  status: {
+    confirmed: true,
+    block_height: 2867279,
+    block_hash: '000000000000001ee12e0297ff36e8c8041aefb65af0c1033a1af4fdb8146f0d',
+    block_time: 1720620175,
+  },
+};
+
+export const TEST_VAULT_2: RawVault = {
+  uuid: '0x2b898d65df757575417a920aabe518586793bac4fa682f00ad2c33fad2471999',
+  protocolContract: '0x980feAeD0D5d3BaFFeb828a27e8b59c0FE78F1f9',
+  timestamp: BigNumber.from('0x668e9353'),
+  valueLocked: BigNumber.from('0x989680'),
+  valueMinted: BigNumber.from('0x989680'),
+  creator: '0x980feAeD0D5d3BaFFeb828a27e8b59c0FE78F1f9',
+  status: 1,
+  fundingTxId: '4cf5c2954c84bf5225d98ef014aa97bbfa0f05d56b5749782fcd8af8b9d505a5',
+  closingTxId: '',
+  wdTxId: '032392b61a5c3b0098774465ad61e429fd892615ff2890f849f8eb237a8a59f3ba',
+  btcFeeRecipient: '',
+  btcMintFeeBasisPoints: BigNumber.from('0x64'),
+  btcRedeemFeeBasisPoints: BigNumber.from('0x64'),
+  taprootPubKey: 'dc544c17af0887dfc8ca9936755c9fdef0c79bbc8866cd69bf120c71509742d2',
+};

tests/unit/proof-of-reserve.test.ts

@@ -0,0 +1,46 @@
+import { testnet } from 'bitcoinjs-lib/src/networks.js';
+
+import { verifyVaultDeposit } from '../../src/functions/proof-of-reserve/proof-of-reserve-functions.js';
+import { TEST_TESTNET_BITCOIN_BLOCKCHAIN_API } from '../mocks/api.test.constants.js';
+import { TEST_TESTNET_ATTESTOR_UNHARDENED_DERIVED_PUBLIC_KEY_1 } from '../mocks/attestor.test.constants.js';
+import {
+  TEST_BITCOIN_BLOCKCHAIN_BLOCK_HEIGHT_1,
+  TEST_BITCOIN_BLOCKCHAIN_BLOCK_HEIGHT_2,
+} from '../mocks/bitcoin.test.constants.js';
+import { TEST_TESTNET_FUNDING_TRANSACTION, TEST_VAULT_2 } from '../mocks/constants';
+
+jest.mock('../../src/functions/bitcoin/bitcoin-request-functions.js', () => {
+  const actual = jest.requireActual('../../src/functions/bitcoin/bitcoin-request-functions.js');
+  return {
+    ...actual,
+    fetchBitcoinTransaction: () => TEST_TESTNET_FUNDING_TRANSACTION,
+  };
+});
+
+describe('Proof of Reserve Calculation', () => {
+  describe('verifyVaultDeposit', () => {
+    it("should return true when the vault's funding transaction is confirmed, contains an output with the multisig's script, and the output's value matches the vault's valueLocked field", async () => {
+      const result = await verifyVaultDeposit(
+        TEST_VAULT_2,
+        Buffer.from(TEST_TESTNET_ATTESTOR_UNHARDENED_DERIVED_PUBLIC_KEY_1, 'hex'),
+        TEST_BITCOIN_BLOCKCHAIN_BLOCK_HEIGHT_1,
+        TEST_TESTNET_BITCOIN_BLOCKCHAIN_API,
+        testnet
+      );
+
+      expect(result).toBe(true);
+    });
+
+    it("should return false when the vault's funding transaction is not yet confirmed", async () => {
+      const result = await verifyVaultDeposit(
+        TEST_VAULT_2,
+        Buffer.from(TEST_TESTNET_ATTESTOR_UNHARDENED_DERIVED_PUBLIC_KEY_1, 'hex'),
+        TEST_BITCOIN_BLOCKCHAIN_BLOCK_HEIGHT_2,
+        TEST_TESTNET_BITCOIN_BLOCKCHAIN_API,
+        testnet
+      );
+
+      expect(result).toBe(false);
+    });
+  });
+});