Shadow Arena #003: Velodrome Finance

Velodrome is a next-generation AMM on Optimism, forked from Solidly (ve(3,3) model). It combines a Uniswap V2-style constant product AMM with a vote-escrow tokenomics layer where veNFT holders direct emissions to liquidity pools. The AMM core is familiar. The bugs are all in the novel extensions.

Scope (1914 SLOC)

File	SLOC	Description
contracts/contracts/Pair.sol	416	AMM pair: constant product (volatile) and stableswap (stable) curves
contracts/contracts/PairFees.sol	23	Holds trading fees, claimed by Gauge
contracts/contracts/Router.sol	370	User-facing router with slippage, deadlines, WETH wrapping
contracts/contracts/VelodromeLibrary.sol	89	Helper functions: pair address, reserves, swap calculations
contracts/contracts/factories/PairFactory.sol	82	Factory for deploying Pair contracts
contracts/contracts/Gauge.sol	545	LP staking: VELO emissions, checkpoints, reward accounting
contracts/contracts/Bribe.sol	85	External bribe rewards for voters, distributed per epoch
contracts/contracts/Voter.sol	304	Coordination: gauge creation, vote accounting, emission distribution

Documentation

Source Code Protocol Docs

Part of the Uniswap V2 Path

This shadow audit connects to the Uniswap V2 Build module. Students who completed the CFAMM build have an advantage because they understand the core architecture.

View Build Module

Duration4 days

Total Findings13

Scope1914 SLOC

PriceFree