feat: Cancel hodl invoice if dlc proposal fails

coordinator/migrations/2024-05-31-144618_add-canceled-invoice-state/down.sql

@@ -0,0 +1,5 @@
+-- Postgres does not allow removing enum type values. One can only re-create an enum type with fewer values and replace the references.
+-- However, there is no proper way to replace the values to be removed where they are used (i.e. referenced in `hodl_invoice` table)
+-- We opt to NOT remove enum values that were added at a later point.
+
+select 1;

coordinator/migrations/2024-05-31-144618_add-canceled-invoice-state/up.sql

@@ -0,0 +1 @@
+ALTER TYPE "InvoiceState_Type" ADD VALUE IF NOT EXISTS 'Canceled';

coordinator/src/bin/coordinator.rs

@@ -3,6 +3,7 @@ use anyhow::Result;
 use bitcoin::key::XOnlyPublicKey;
 use coordinator::backup::SledBackup;
 use coordinator::cli::Opts;
+use coordinator::db;
 use coordinator::dlc_handler;
 use coordinator::dlc_handler::DlcHandler;
 use coordinator::logger;
@@ -356,6 +357,20 @@ async fn main() -> Result<()> {
         }
     });
 
+    if let Err(e) = spawn_blocking({
+        let pool = pool.clone();
+        move || {
+            let mut conn = pool.get()?;
+            db::hodl_invoice::cancel_pending_hodl_invoices(&mut conn)?;
+            anyhow::Ok(())
+        }
+    })
+    .await
+    .expect("task to finish")
+    {
+        tracing::error!("Failed to set expired hodl invoices to canceled. Error: {e:#}");
+    }
+
     tracing::debug!("Listening on http://{}", http_address);
 
     match axum::Server::bind(&http_address)

coordinator/src/db/custom_types.rs

@@ -275,6 +275,7 @@ impl ToSql<InvoiceStateType, Pg> for InvoiceState {
             InvoiceState::Accepted => out.write_all(b"Accepted")?,
             InvoiceState::Settled => out.write_all(b"Settled")?,
             InvoiceState::Failed => out.write_all(b"Failed")?,
+            InvoiceState::Canceled => out.write_all(b"Canceled")?,
         }
         Ok(IsNull::No)
     }
@@ -287,6 +288,7 @@ impl FromSql<InvoiceStateType, Pg> for InvoiceState {
             b"Accepted" => Ok(InvoiceState::Accepted),
             b"Settled" => Ok(InvoiceState::Settled),
             b"Failed" => Ok(InvoiceState::Failed),
+            b"Canceled" => Ok(InvoiceState::Canceled),
             _ => Err("Unrecognized enum variant".into()),
         }
     }

coordinator/src/db/hodl_invoice.rs

@@ -9,6 +9,7 @@ use diesel::AsExpression;
 use diesel::ExpressionMethods;
 use diesel::FromSqlRow;
 use diesel::PgConnection;
+use diesel::QueryDsl;
 use diesel::QueryResult;
 use diesel::RunQueryDsl;
 use std::any::TypeId;
@@ -22,6 +23,7 @@ pub enum InvoiceState {
     Accepted,
     Settled,
     Failed,
+    Canceled,
 }
 
 impl QueryId for InvoiceStateType {
@@ -33,6 +35,13 @@ impl QueryId for InvoiceStateType {
     }
 }
 
+pub fn cancel_pending_hodl_invoices(conn: &mut PgConnection) -> QueryResult<usize> {
+    diesel::update(hodl_invoices::table)
+        .filter(hodl_invoices::invoice_state.eq_any([InvoiceState::Open, InvoiceState::Accepted]))
+        .set(hodl_invoices::invoice_state.eq(InvoiceState::Canceled))
+        .execute(conn)
+}
+
 pub fn create_hodl_invoice(
     conn: &mut PgConnection,
     r_hash: &str,
@@ -53,6 +62,13 @@ pub fn create_hodl_invoice(
     Ok(())
 }
 
+pub fn get_r_hash_by_order_id(conn: &mut PgConnection, order_id: Uuid) -> QueryResult<String> {
+    hodl_invoices::table
+        .filter(hodl_invoices::order_id.eq(order_id))
+        .select(hodl_invoices::r_hash)
+        .get_result(conn)
+}
+
 pub fn update_hodl_invoice_to_accepted(
     conn: &mut PgConnection,
     hash: &str,
@@ -87,28 +103,15 @@ pub fn update_hodl_invoice_to_settled(
         .get_result(conn)
 }
 
-pub fn update_hodl_invoice_to_failed(
-    conn: &mut PgConnection,
-    order_id: Uuid,
-) -> QueryResult<usize> {
-    diesel::update(hodl_invoices::table)
-        .filter(hodl_invoices::order_id.eq(order_id))
-        .set((
-            hodl_invoices::updated_at.eq(OffsetDateTime::now_utc()),
-            hodl_invoices::invoice_state.eq(InvoiceState::Failed),
-        ))
-        .execute(conn)
-}
-
-pub fn update_hodl_invoice_to_failed_by_r_hash(
+pub fn update_hodl_invoice_to_canceled(
     conn: &mut PgConnection,
     r_hash: String,
 ) -> QueryResult<usize> {
     diesel::update(hodl_invoices::table)
         .filter(hodl_invoices::r_hash.eq(r_hash))
         .set((
             hodl_invoices::updated_at.eq(OffsetDateTime::now_utc()),
-            hodl_invoices::invoice_state.eq(InvoiceState::Failed),
+            hodl_invoices::invoice_state.eq(InvoiceState::Canceled),
         ))
         .execute(conn)
 }

coordinator/src/node/invoice.rs

@@ -28,22 +28,24 @@ pub fn spawn_invoice_watch(
             match stream.try_next().await {
                 Ok(Some(invoice)) => match invoice.state {
                     InvoiceState::Open => {
-                        tracing::debug!(%trader_pubkey, invoice.r_hash, "Watching hodl invoice.");
+                        tracing::debug!(%trader_pubkey, r_hash, "Watching hodl invoice.");
                         continue;
                     }
                     InvoiceState::Settled => {
-                        tracing::info!(%trader_pubkey, invoice.r_hash, "Accepted hodl invoice has been settled.");
+                        tracing::info!(%trader_pubkey, r_hash, "Accepted hodl invoice has been settled.");
                         break;
                     }
                     InvoiceState::Canceled => {
-                        tracing::warn!(%trader_pubkey, invoice.r_hash, "Pending hodl invoice has been canceled.");
-                        if let Err(e) = spawn_blocking(move || {
-                            let mut conn = pool.get()?;
-                            db::hodl_invoice::update_hodl_invoice_to_failed_by_r_hash(
-                                &mut conn,
-                                invoice.r_hash,
-                            )?;
-                            anyhow::Ok(())
+                        tracing::warn!(%trader_pubkey, r_hash, "Pending hodl invoice has been canceled.");
+                        if let Err(e) = spawn_blocking({
+                            let r_hash = r_hash.clone();
+                            move || {
+                                let mut conn = pool.get()?;
+                                db::hodl_invoice::update_hodl_invoice_to_canceled(
+                                    &mut conn, r_hash,
+                                )?;
+                                anyhow::Ok(())
+                            }
                         })
                         .await
                         .expect("task to finish")
@@ -56,12 +58,12 @@ pub fn spawn_invoice_watch(
                         break;
                     }
                     InvoiceState::Accepted => {
-                        tracing::info!(%trader_pubkey, invoice.r_hash, "Pending hodl invoice has been accepted.");
+                        tracing::info!(%trader_pubkey, r_hash, "Pending hodl invoice has been accepted.");
                         if let Err(e) = trader_sender.send(Message::LnPaymentReceived {
-                            r_hash: invoice.r_hash.clone(),
+                            r_hash: r_hash.clone(),
                             amount: Amount::from_sat(invoice.amt_paid_sat),
                         }) {
-                            tracing::error!(%trader_pubkey, r_hash = invoice.r_hash, "Failed to send payment received event to app. Error: {e:#}")
+                            tracing::error!(%trader_pubkey, r_hash, "Failed to send payment received event to app. Error: {e:#}")
                         }
                         continue;
                     }

coordinator/src/trade/mod.rs

@@ -149,7 +149,17 @@ impl TradeExecutor {
                 if params.external_funding.is_some() {
                     // The channel was funded externally. We need to post process the dlc channel
                     // offer.
-                    if let Err(e) = self.post_process_proposal(trader_id, order_id).await {
+                    if let Err(e) = self.settle_invoice(trader_id, order_id).await {
+                        tracing::error!(%trader_id, %order_id, "Failed to settle invoice with provided pre_image. Cancelling offer. Error: {e:#}");
+
+                        if let Err(e) = self.cancel_offer(trader_id).await {
+                            tracing::error!(%trader_id, %order_id, "Failed to cancel offer. Error: {e:#}");
+                        }
+
+                        if let Err(e) = self.cancel_hodl_invoice(order_id).await {
+                            tracing::error!(%trader_id, %order_id, "Failed to cancel hodl invoice. Error: {e:#}");
+                        }
+
                         let message = OrderbookMessage::TraderMessage {
                             trader_id,
                             message: Message::TradeError {
@@ -183,20 +193,8 @@ impl TradeExecutor {
                         tracing::error!(%trader_id, %order_id, "Failed to cancel offer. Error: {e:#}");
                     }
 
-                    // if the order was externally funded we need to set the hodl invoice to failed.
-                    if let Err(e) = spawn_blocking({
-                        let pool = self.node.pool.clone();
-                        move || {
-                            let mut conn = pool.get()?;
-                            db::hodl_invoice::update_hodl_invoice_to_failed(&mut conn, order_id)?;
-
-                            anyhow::Ok(())
-                        }
-                    })
-                    .await
-                    .expect("task to finish")
-                    {
-                        tracing::error!(%trader_id, %order_id, "Failed to set hodl invoice to failed. Error: {e:#}");
+                    if let Err(e) = self.cancel_hodl_invoice(order_id).await {
+                        tracing::error!(%trader_id, %order_id, "Failed to cancel hodl_invoice. Error: {e:#}");
                     }
                 }
 
@@ -221,35 +219,6 @@ impl TradeExecutor {
         };
     }
 
-    async fn post_process_proposal(&self, trader: PublicKey, order_id: Uuid) -> Result<()> {
-        match self.settle_invoice(trader, order_id).await {
-            Ok(()) => Ok(()),
-            Err(e) => {
-                tracing::error!(%trader, %order_id, "Failed to settle invoice with provided pre_image. Cancelling offer. Error: {e:#}");
-
-                if let Err(e) = self.cancel_offer(trader).await {
-                    tracing::error!(%trader, %order_id, "Failed to cancel offer. Error: {e:#}");
-                }
-
-                if let Err(e) = spawn_blocking({
-                    let pool = self.node.pool.clone();
-                    move || {
-                        let mut conn = pool.get()?;
-                        db::hodl_invoice::update_hodl_invoice_to_failed(&mut conn, order_id)?;
-
-                        anyhow::Ok(())
-                    }
-                })
-                .await
-                .expect("task to finish")
-                {
-                    tracing::error!(%trader, %order_id, "Failed to set hodl invoice to failed. Error: {e:#}");
-                }
-                Err(e)
-            }
-        }
-    }
-
     /// Settles the accepted invoice for the given trader
     async fn settle_invoice(&self, trader: PublicKey, order_id: Uuid) -> Result<()> {
         let pre_image = spawn_blocking({
@@ -305,6 +274,22 @@ impl TradeExecutor {
         Ok(())
     }
 
+    pub async fn cancel_hodl_invoice(&self, order_id: Uuid) -> Result<()> {
+        // if the order was externally funded we need to set the hodl invoice to failed.
+        let r_hash = spawn_blocking({
+            let pool = self.node.pool.clone();
+            move || {
+                let mut conn = pool.get()?;
+                let r_hash = db::hodl_invoice::get_r_hash_by_order_id(&mut conn, order_id)?;
+
+                anyhow::Ok(r_hash)
+            }
+        })
+        .await??;
+
+        self.node.lnd_bridge.cancel_invoice(r_hash).await
+    }
+
     /// Execute a trade action according to the coordinator's current trading status with the
     /// trader.
     ///

crates/lnd-bridge/examples/cancel_invoice_api.rs

@@ -9,8 +9,8 @@ async fn main() -> Result<()> {
     let macaroon = "[enter macroon here]".to_string();
     let lnd_bridge = lnd_bridge::LndBridge::new("localhost:18080".to_string(), macaroon, false);
 
-    let payment_hash = "".to_string();
-    lnd_bridge.cancel_invoice(payment_hash).await?;
+    let r_hash = "".to_string();
+    lnd_bridge.cancel_invoice(r_hash).await?;
 
     Ok(())
 }

crates/lnd-bridge/src/lib.rs

@@ -150,7 +150,7 @@ impl LndBridge {
         Ok(invoice)
     }
 
-    pub async fn cancel_invoice(&self, payment_hash: String) -> Result<()> {
+    pub async fn cancel_invoice(&self, r_hash: String) -> Result<()> {
         let builder = self.client.request(
             Method::POST,
             format!(
@@ -163,7 +163,9 @@ impl LndBridge {
         let resp = builder
             .header("content-type", "application/json")
             .header("Grpc-Metadata-macaroon", self.macaroon.clone())
-            .json(&CancelInvoice { payment_hash })
+            .json(&CancelInvoice {
+                payment_hash: r_hash,
+            })
             .send()
             .await?;
 

mobile/native/Cargo.toml

@@ -9,7 +9,6 @@ crate-type = ["rlib", "cdylib", "staticlib"]
 [dependencies]
 aes-gcm-siv = { version = "0.11.1", features = ["heapless"] }
 anyhow = "1"
-base64 = "0.21.0"
 bdk = { version = "1.0.0-alpha.6", features = ["std"] }
 bdk_file_store = "0.6"
 bip21 = "0.3.0"

mobile/native/src/watcher.rs

@@ -3,8 +3,6 @@ use crate::event::EventInternal;
 use crate::event::EventType;
 use crate::state;
 use anyhow::Result;
-use base64::engine::general_purpose;
-use base64::Engine;
 use bitcoin::Address;
 use bitcoin::Amount;
 use std::time::Duration;
@@ -33,19 +31,9 @@ impl Subscriber for InvoiceWatcher {
             let r_hash = r_hash.clone();
             let sender = self.sender.clone();
             async move {
-                // We receive the r_hash in base64 standard encoding
-                match general_purpose::STANDARD.decode(&r_hash) {
-                    Ok(hash) => {
-                        // but we watch for the r_has in base64 url safe encoding.
-                        let r_hash = general_purpose::URL_SAFE.encode(hash);
-                        if let Err(e) = sender.send(r_hash.clone()) {
-                            tracing::error!(%r_hash, "Failed to send accepted invoice event. Error: {e:#}");
-                        }
-                    },
-                    Err(e) => {
-                        tracing::error!(r_hash, "Failed to decode. Error: {e:#}");
-                    }
-                };
+                if let Err(e) = sender.send(r_hash.clone()) {
+                    tracing::error!(%r_hash, "Failed to send accepted invoice event. Error: {e:#}");
+                }
             }
         });
     }