Core Contracts

Summary

The reward distribution mechanism in the GaugeController contract currently employs two different period emission calculations: one for RWA gauges and another for RAAC gauges. The RWA emission calculation is implemented as a monthly emission rate, whereas the RAAC emission calculation is implemented as a weekly emission rate. This inconsistency can lead to confusion and potential misalignments in reward distribution across gauge types.

Vulnerability Details

The issue is highlighted in the following code snippet:

Inconsistent Periods:

• _calculateRWAEmission() returns a monthly emission rate.

• _calculateRAACEmission() returns a weekly emission rate.

Expected Behavior:

For a consistent reward distribution mechanism, both gauge types should ideally follow the same period for emission calculations unless the protocol intentionally differentiates them for specific economic reasons.

Impact

Users may receive differing reward amounts or timing discrepancies between gauges based solely on the period calculation, which might not reflect the intended tokenomics.

Tools Used

Manual

Recommendations

Align the period emissions for both RWA and RAAC gauges to a single period (either monthly or weekly) unless a deliberate design decision justifies the difference. Either divide _calculateRWAEmission() by 4 or multiply _calculateRAACEmission() by 4 to bring consistency.