Referenda #17 - Compensation Proposal for Miner’s Assets Freeze Due to Issue #500

Zhewang · 13 November 2021 10:04

To all miners,

On September 20th (UTC time), issue #500 occurred on Khala network at block height #426612, which unfortunately caused some Workers to extend the Stake lock-up time. Phala team immediately fixed the issue after receiving feedback.

However, due to Issue #500, 102 Workers’ $PHA were locked up and have not been released since.

Therefore, as a representative of miners, I initiated the following compensation proposal in the interests of miners that were affected by Issue #500.

The details of Issue #500 are as follows:

Symptom

Because the Release state is overwritten, the Worker will freeze the Stake if it is repeatedly added to the new Pool after CD state is Removed.

Tracking issue

Affected block interval #426612 (September 20th, UTC) to #519294 block (October 6th, UTC)

github.com/Phala-Network/phala-blockchain

Add worker after removing reset CD state to Ready

opened 04:10AM - 26 Sep 21 UTC

closed 04:13AM - 15 Nov 21 UTC

h4x3rotab

chain P0 mining

Tasks - [x] Fix #500 by checking miner CD state before starting mining -… This fix stops bleeding - [x] Check all the storage insertion. Make sure there's no unexpected overwriting - [x] Reconcile the missing releasing stake in the past - Whenever a Cooling Down miner is removed by this bug and got started again, it's `Stakes` record will be wiped. However the wiped stake is supposed to be reclaimed in the future. As a result, the wiped stake will be locked in the pool forever (in the end, locked in the contributors' locked balance, but also reflected in the `total_stake` and `releasing_stake`) - To reconcile, we need to find out the affected pools and the amount and trigger `on_reclaim` by a backfill. We can scan all the `remove_worker` and `start_worker` pairs for the same worker in each pool. Every such pair freezes some stakes. (We should only consider the successful extrinsics!) - We add a function `backfill_issue500_reclaim(Vec<(miner, stake, slash)>)` that can be called only with the signature of half council members. Note that we cannot invoke `on_claim` directly because we don't want to remove `SubAccountAssignment` as addressed in #518 - [x] Backfill code - [x] Scripts to collect data and produce the reconcile call - [x] Run - [ ] Retire - [x] Examine if other storage migration is required Example: https://khala.subscan.io/account/44Z4vgVTtAkmA7HuqRqojehMawAsnfM8eEDQAcbw6mSXbBEq

Progress

After the official emergency fix, Issue #500 was prevented from ever happening again. A method was found to release the locked $PHA of these 102 Workers.

I recommended that the Phala team take a snapshot of all accounts affected by Issus #500 and completes the compensation distribution through a voting of a referendum.

Affected users

If you used Remove Worker and added to the new Pool before the fix but you cannot confirm- please Withdraw immediately so that you can gather information during the snapshot. The list of snapshots will be announced after the proposal is passed.

Compensation suggestions

Due to Issus #500, a total of 102 Workers’ Stake lock periods have been extended. During the lock-up period, the abnormally-locked $PHA should obtain the corresponding staking income. According to the current average ~20% APY of Khala network, from 9/20 to 11/13 (a total of 54 days) around 3% of staking income should have been obtained.

I hope to compensate for an additional 2% on the basis of the 3% of staking income. In total, the affected account will receive an income compensation of 5% of the locked up amount. According to this proposal, I will initiate a referendum and have it reviewed by the Council. Compensation will be distributed according to the final snapshot list after it is passed by the community voting.

Zhe Wang
Core Phala Mining Leader

BML · 20 December 2021 05:23

After Issue #500, we have seen a decrease in miners’ enthusiasm for Khala mining.
As a member of the miners, I hope that in addition to the basis of the 3% income, a 2% of the income should be added as compensation.
That is, the affected accounts will obtain 5% of the staking income compensation of the abnormally locked amount in total.

According to statistics, a total of 44 account addresses have been abnormally locked, and the total amount of compensation required is 13,094.9625 PHA.

I will initiate a referendum proposal in Khala Network. It is recommended to compensate the accounts on the snapshot list from the ForceTransfer of Khala’s mining rewards.

Please check the Snapshot List below: