feat: update the default protocolFee for dynamic fee pool to 3bps (#243)

chefburger · web-flow · commit 9c15cf648923 · 2025-06-24T14:21:02.000+08:00
* feat: update the default protocolFee for dynamic fee pool to 3bps

* fix: update to 0.03% instead of 0.3%
diff --git a/src/ProtocolFeeController.sol b/src/ProtocolFeeController.sol
@@ -18,6 +18,9 @@ contract ProtocolFeeController is IProtocolFeeController, Ownable2Step {
     /// @notice throw when the pool manager saved does not match the pool manager from the pool key
     error InvalidPoolManager();
 
+    /// @notice throw when the default protocol fee for dynamic fee pool is invalid i.e. greater than 0.4%
+    error InvalidDefaultProtocolFeeForDynamicFeePool();
+
     /// @notice throw when the protocol fee split ratio is invalid i.e. greater than 100%
     error InvalidProtocolFeeSplitRatio();
 
@@ -30,6 +33,15 @@ contract ProtocolFeeController is IProtocolFeeController, Ownable2Step {
 
     address public immutable poolManager;
 
+    /// @notice the default protocol fee for dynamic fee pool,
+    /// every newly created dynamic fee pool will have this default protocol fee
+    /// @dev 1000 = 0.1%, the initial setting is 0.03% i.e. 3bps
+    uint24 public defaultProtocolFeeForDynamicFeePool = 300;
+
+    event DefaultProtocolFeeForDynamicFeePoolUpdated(
+        uint24 oldDefaultProtocolFeeForDynamicFeePool, uint24 newDefaultProtocolFeeForDynamicFeePool
+    );
+
     event ProtocolFeeSplitRatioUpdated(uint256 oldProtocolFeeSplitRatio, uint256 newProtocolFeeSplitRatio);
 
     /// @notice emit when the protocol fee is collected
@@ -39,6 +51,23 @@ contract ProtocolFeeController is IProtocolFeeController, Ownable2Step {
         poolManager = _poolManager;
     }
 
+    /// @notice Set the default protocol fee for dynamic fee pool, this will only impact the newly created dynamic fee pool
+    /// all those existing dynamic fee pools will not be affected, they will keep using the default protocol fee set at the time of creation
+    /// @param newDefaultProtocolFeeForDynamicFeePool 1000 = 0.1%, the initial setting is 0.03% i.e. 3bps
+    function setDefaultProtocolFeeForDynamicFeePool(uint24 newDefaultProtocolFeeForDynamicFeePool) external onlyOwner {
+        // cap the protocol fee at 0.4%, if it's over the limit we revert the tx
+        if (newDefaultProtocolFeeForDynamicFeePool > ProtocolFeeLibrary.MAX_PROTOCOL_FEE) {
+            revert InvalidDefaultProtocolFeeForDynamicFeePool();
+        }
+
+        uint24 oldDefaultProtocolFeeForDynamicFeePool = defaultProtocolFeeForDynamicFeePool;
+        defaultProtocolFeeForDynamicFeePool = newDefaultProtocolFeeForDynamicFeePool;
+
+        emit DefaultProtocolFeeForDynamicFeePoolUpdated(
+            oldDefaultProtocolFeeForDynamicFeePool, newDefaultProtocolFeeForDynamicFeePool
+        );
+    }
+
     /// @notice Set the ratio of the protocol fee in the total fee
     /// @param newProtocolFeeSplitRatio 30e4 would mean 30% of the total fee goes to protocol
     function setProtocolFeeSplitRatio(uint256 newProtocolFeeSplitRatio) external onlyOwner {
@@ -77,8 +106,8 @@ contract ProtocolFeeController is IProtocolFeeController, Ownable2Step {
         // calculate the protocol fee based on the predefined rule
         uint256 lpFee = poolKey.fee;
         if (lpFee == LPFeeLibrary.DYNAMIC_FEE_FLAG) {
-            /// @notice for dynamic fee pools, the default protocol fee is 0
-            return _buildProtocolFee(0);
+            /// @notice for dynamic fee pools, the default protocol fee is set separately
+            return _buildProtocolFee(defaultProtocolFeeForDynamicFeePool);
         } else if (protocolFeeSplitRatio == 0) {
             return _buildProtocolFee(0);
         } else if (protocolFeeSplitRatio == ONE_HUNDRED_PERCENT_RATIO) {
diff --git a/test/ProtocolFeeController.t.sol b/test/ProtocolFeeController.t.sol
@@ -27,6 +27,7 @@ import {BalanceDelta} from "../src/types/BalanceDelta.sol";
 import {BinTestHelper} from "./pool-bin/helpers/BinTestHelper.sol";
 import {BinSwapHelper} from "./pool-bin/helpers/BinSwapHelper.sol";
 import {BinLiquidityHelper} from "./pool-bin/helpers/BinLiquidityHelper.sol";
+import {HooksContract} from "./libraries/Hooks/HooksContract.sol";
 
 contract ProtocolFeeControllerTest is Test, BinTestHelper, TokenFixture {
     using CLPoolParametersHelper for bytes32;
@@ -36,13 +37,18 @@ contract ProtocolFeeControllerTest is Test, BinTestHelper, TokenFixture {
     /// @notice 100% in hundredths of a bip
     uint256 private constant ONE_HUNDRED_PERCENT_RATIO = 1e6;
 
+    /// @dev the initial setting of the default protocol fee for dynamic fee pool is 0.03% i.e. 3bps
+    uint24 private constant DEFAULT_PROTOCOL_FEE_FOR_DYNAMIC_FEE_POOL = 300;
+
     Vault vault;
     CLPoolManager clPoolManager;
     BinPoolManager binPoolManager;
 
     BinSwapHelper public binSwapHelper;
     BinLiquidityHelper public binLiquidityHelper;
 
+    HooksContract public hooksContract;
+
     function setUp() public {
         initializeTokens();
 
@@ -58,6 +64,8 @@ contract ProtocolFeeControllerTest is Test, BinTestHelper, TokenFixture {
         IERC20(Currency.unwrap(currency1)).approve(address(binSwapHelper), 1000 ether);
         IERC20(Currency.unwrap(currency0)).approve(address(binLiquidityHelper), 1000 ether);
         IERC20(Currency.unwrap(currency1)).approve(address(binLiquidityHelper), 1000 ether);
+
+        hooksContract = new HooksContract(0);
     }
 
     function testOwnerTransfer() public {
@@ -90,6 +98,32 @@ contract ProtocolFeeControllerTest is Test, BinTestHelper, TokenFixture {
         assertEq(controller.owner(), makeAddr("newOwner"));
     }
 
+    function testSetDefaultProtocolFeeForDynamicFeePool(uint24 newDefaultProtocolFeeForDynamicFeePool) public {
+        ProtocolFeeController controller = new ProtocolFeeController(address(clPoolManager));
+
+        // it should start with 0.03% as default
+        assertEq(controller.defaultProtocolFeeForDynamicFeePool(), DEFAULT_PROTOCOL_FEE_FOR_DYNAMIC_FEE_POOL);
+
+        {
+            // must from owner
+            vm.prank(makeAddr("someone"));
+            vm.expectRevert(abi.encodeWithSelector(Ownable.OwnableUnauthorizedAccount.selector, makeAddr("someone")));
+            controller.setDefaultProtocolFeeForDynamicFeePool(newDefaultProtocolFeeForDynamicFeePool);
+        }
+
+        if (newDefaultProtocolFeeForDynamicFeePool > ProtocolFeeLibrary.MAX_PROTOCOL_FEE) {
+            vm.expectRevert(ProtocolFeeController.InvalidDefaultProtocolFeeForDynamicFeePool.selector);
+            controller.setDefaultProtocolFeeForDynamicFeePool(newDefaultProtocolFeeForDynamicFeePool);
+        } else {
+            vm.expectEmit(true, true, true, true);
+            emit ProtocolFeeController.DefaultProtocolFeeForDynamicFeePoolUpdated(
+                DEFAULT_PROTOCOL_FEE_FOR_DYNAMIC_FEE_POOL, newDefaultProtocolFeeForDynamicFeePool
+            );
+            controller.setDefaultProtocolFeeForDynamicFeePool(newDefaultProtocolFeeForDynamicFeePool);
+            assertEq(controller.defaultProtocolFeeForDynamicFeePool(), newDefaultProtocolFeeForDynamicFeePool);
+        }
+    }
+
     function testSetProcotolFeeSplitRatio(uint256 newProtocolFeeSplitRatio) public {
         ProtocolFeeController controller = new ProtocolFeeController(address(clPoolManager));
 
@@ -363,6 +397,104 @@ contract ProtocolFeeControllerTest is Test, BinTestHelper, TokenFixture {
         }
     }
 
+    function testCLDynamicPoolInitWithProtolFeeControllerFuzz(uint24 newDefaultProtocolFeeForDynamicFeePool) public {
+        ProtocolFeeController controller = new ProtocolFeeController(address(clPoolManager));
+        newDefaultProtocolFeeForDynamicFeePool =
+            uint24(bound(newDefaultProtocolFeeForDynamicFeePool, 0, ProtocolFeeLibrary.MAX_PROTOCOL_FEE));
+
+        clPoolManager.setProtocolFeeController(controller);
+
+        PoolKey memory key = PoolKey({
+            currency0: currency0,
+            currency1: currency1,
+            hooks: hooksContract,
+            poolManager: clPoolManager,
+            fee: LPFeeLibrary.DYNAMIC_FEE_FLAG,
+            parameters: bytes32(0).setTickSpacing(10)
+        });
+        clPoolManager.initialize(key, Constants.SQRT_RATIO_1_1);
+
+        (,, uint24 actualProtocolFee,) = clPoolManager.getSlot0(key.toId());
+
+        // under default rule protocol fee must be equal for both directions
+        uint16 protocolFeeZeroForOne = actualProtocolFee.getZeroForOneFee();
+        uint16 protocolFeeOneForZero = actualProtocolFee.getOneForZeroFee();
+        assertEq(protocolFeeOneForZero, protocolFeeZeroForOne);
+        assertEq(protocolFeeOneForZero, DEFAULT_PROTOCOL_FEE_FOR_DYNAMIC_FEE_POOL);
+
+        controller.setDefaultProtocolFeeForDynamicFeePool(newDefaultProtocolFeeForDynamicFeePool);
+
+        key.parameters = bytes32(0).setTickSpacing(30);
+        clPoolManager.initialize(key, Constants.SQRT_RATIO_1_1);
+
+        (,, actualProtocolFee,) = clPoolManager.getSlot0(key.toId());
+        // under default rule protocol fee must be equal for both directions
+        protocolFeeZeroForOne = actualProtocolFee.getZeroForOneFee();
+        protocolFeeOneForZero = actualProtocolFee.getOneForZeroFee();
+        assertEq(protocolFeeOneForZero, protocolFeeZeroForOne);
+        assertEq(protocolFeeOneForZero, newDefaultProtocolFeeForDynamicFeePool);
+
+        // verify the original pool is not affected
+        {
+            key.parameters = bytes32(0).setTickSpacing(10);
+
+            (,, actualProtocolFee,) = clPoolManager.getSlot0(key.toId());
+            // under default rule protocol fee must be equal for both directions
+            protocolFeeZeroForOne = actualProtocolFee.getZeroForOneFee();
+            protocolFeeOneForZero = actualProtocolFee.getOneForZeroFee();
+            assertEq(protocolFeeOneForZero, protocolFeeZeroForOne);
+        }
+    }
+
+    function testBinDynamicPoolInitWithProtolFeeControllerFuzz(uint24 newDefaultProtocolFeeForDynamicFeePool) public {
+        ProtocolFeeController controller = new ProtocolFeeController(address(binPoolManager));
+        newDefaultProtocolFeeForDynamicFeePool =
+            uint24(bound(newDefaultProtocolFeeForDynamicFeePool, 0, ProtocolFeeLibrary.MAX_PROTOCOL_FEE));
+
+        binPoolManager.setProtocolFeeController(controller);
+
+        PoolKey memory key = PoolKey({
+            currency0: currency0,
+            currency1: currency1,
+            hooks: hooksContract,
+            poolManager: binPoolManager,
+            fee: LPFeeLibrary.DYNAMIC_FEE_FLAG,
+            parameters: bytes32(0).setBinStep(1)
+        });
+        binPoolManager.initialize(key, ID_ONE);
+
+        (, uint24 actualProtocolFee,) = binPoolManager.getSlot0(key.toId());
+
+        // under default rule protocol fee must be equal for both directions
+        uint16 protocolFeeZeroForOne = actualProtocolFee.getZeroForOneFee();
+        uint16 protocolFeeOneForZero = actualProtocolFee.getOneForZeroFee();
+        assertEq(protocolFeeOneForZero, protocolFeeZeroForOne);
+        assertEq(protocolFeeOneForZero, DEFAULT_PROTOCOL_FEE_FOR_DYNAMIC_FEE_POOL);
+
+        controller.setDefaultProtocolFeeForDynamicFeePool(newDefaultProtocolFeeForDynamicFeePool);
+
+        key.parameters = bytes32(0).setBinStep(5);
+        binPoolManager.initialize(key, ID_ONE);
+
+        (, actualProtocolFee,) = binPoolManager.getSlot0(key.toId());
+        // under default rule protocol fee must be equal for both directions
+        protocolFeeZeroForOne = actualProtocolFee.getZeroForOneFee();
+        protocolFeeOneForZero = actualProtocolFee.getOneForZeroFee();
+        assertEq(protocolFeeOneForZero, protocolFeeZeroForOne);
+        assertEq(protocolFeeOneForZero, newDefaultProtocolFeeForDynamicFeePool);
+
+        // verify the original pool is not affected
+        {
+            key.parameters = bytes32(0).setBinStep(1);
+
+            (, actualProtocolFee,) = binPoolManager.getSlot0(key.toId());
+            // under default rule protocol fee must be equal for both directions
+            protocolFeeZeroForOne = actualProtocolFee.getZeroForOneFee();
+            protocolFeeOneForZero = actualProtocolFee.getOneForZeroFee();
+            assertEq(protocolFeeOneForZero, protocolFeeZeroForOne);
+        }
+    }
+
     function testSetProtocolFeeForCLPool(uint24 newProtocolFee) public {
         ProtocolFeeController controller = new ProtocolFeeController(address(clPoolManager));
         clPoolManager.setProtocolFeeController(controller);
