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About Grove Periphery
Grove implements a peripheral contract that converts USDC held by governance into USDS at a rate of one to one. The conversion runs through the Sky DAI LitePSM and the DAI to USDS exchanger, is available in one direction only, and returns the output to the same address the USDC was pulled from.
Audit Summary
The most critical subjects covered in our audit are functional correctness, security of assets and access control. Both hops of the conversion are checked: the DAI received must equal the amount owed at parity, and the holder's balance must rise by exactly that amount, so a sell fee on the PSM or a leg that does not deliver reverts the call rather than settling short. The contract custodies nothing between calls and pays only to the holder, so the exposure of the three roles is bounded by the allowance the holder grants. Security regarding all the aforementioned subjects is high.
The general subjects covered are documentation, unit testing and trustworthiness. The repository documents the contract, its roles and its deployment in detail. Security regarding all the aforementioned subjects is good.
In summary, we find that the codebase provides a high level of security.
It is important to note that security audits are time-boxed and cannot uncover all vulnerabilities. They complement but don't replace other vital measures to secure a project.