fix: do not allow validators with zero weight to be LSM staked. (#795)

* do not allow validators with zero weight to be LSM staked.

* update CHANGELOG.md

* update CHANGELOG.md

* add test.

CHANGELOG.md

@@ -44,6 +44,8 @@ Ref: https://keepachangelog.com/en/1.0.0/
 
 - [792](https://github.com/persistenceOne/pstake-native/pull/792) Use GetHostChainFromHostDenom in ICA Transfer
   unsuccessfulAck instead of GetHostChainFromDelegatorAddress as Rewards account too uses ICA Transfer to autocompound
+- [795](https://github.com/persistenceOne/pstake-native/pull/795) Reject zero weight validator LSM shares for
+  liquidstakeibc
 
 ## [v2.11.0] - 2024-03-12
 

x/liquidstakeibc/keeper/msg_server.go

@@ -989,6 +989,10 @@ func (k msgServer) validateLiquidStakeLSMDeposit(
 		return nil, nil, nil, errorsmod.Wrapf(types.ErrLSMValidatorInvalidState, "validator %s is not in the bonded state, it is in %s", operatorAddress, validator.Status)
 	}
 
+	if validator.Weight.Equal(sdktypes.ZeroDec()) {
+		return nil, nil, nil, errorsmod.Wrapf(types.ErrValidatorNotFound, "validator %s is not in the validator set, weight is %s", operatorAddress, validator.Weight)
+	}
+
 	// check delegator has enough LSM tokens
 	delegatorBalance := k.bankKeeper.GetBalance(ctx, delegatorAddress, delegation.Denom).Amount
 	if delegatorBalance.LT(delegation.Amount) {

x/liquidstakeibc/keeper/msg_server_test.go

@@ -3,6 +3,7 @@ package keeper_test
 import (
 	"context"
 	"fmt"
+	stakingtypes "github.com/cosmos/cosmos-sdk/x/staking/types"
 	"reflect"
 	"testing"
 
@@ -112,11 +113,32 @@ func (suite *IntegrationTestSuite) Test_msgServer_LiquidStakeLSM() {
 	hc, found := pstakeapp.LiquidStakeIBCKeeper.GetHostChain(ctx, suite.chainB.ChainID)
 	suite.Require().True(found)
 
+	inactiveValoperAddr := "persistencevaloper1wrxz49hjmq434zg072kl2ka3kqnau0ejs0vqpm"
+	pstakeapp.LiquidStakeIBCKeeper.SetHostChainValidator(ctx, hc, &types.Validator{
+		OperatorAddress: inactiveValoperAddr,
+		Status:          stakingtypes.BondStatusBonded,
+		Weight:          sdk.ZeroDec(),
+		DelegatedAmount: sdk.OneInt(),
+		ExchangeRate:    sdk.OneDec(),
+		UnbondingEpoch:  0,
+		Delegable:       true,
+	})
+	hc, found = pstakeapp.LiquidStakeIBCKeeper.GetHostChain(ctx, suite.chainB.ChainID)
+	suite.Require().True(found)
 	lsmIbcDenom := ibctfrtypes.ParseDenomTrace(
 		ibctfrtypes.GetPrefixedDenom(hc.PortId, hc.ChannelId, hc.Validators[0].OperatorAddress+"/1"),
 	).IBCDenom()
+
 	suite.Require().Equal(nil, transfertypes.ValidateIBCDenom(lsmIbcDenom))
 
+	lsmIbcDenomZeroWeightTrace := ibctfrtypes.ParseDenomTrace(
+		ibctfrtypes.GetPrefixedDenom(hc.PortId, hc.ChannelId, inactiveValoperAddr+"/1"),
+	)
+	lsmIbcDenomZeroWeight := lsmIbcDenomZeroWeightTrace.IBCDenom()
+	pstakeapp.TransferKeeper.SetDenomTrace(ctx, lsmIbcDenomZeroWeightTrace)
+
+	suite.Require().Equal(nil, transfertypes.ValidateIBCDenom(lsmIbcDenomZeroWeight))
+
 	type args struct {
 		goCtx               context.Context
 		msg                 *types.MsgLiquidStakeLSM
@@ -257,6 +279,21 @@ func (suite *IntegrationTestSuite) Test_msgServer_LiquidStakeLSM() {
 			want:    nil,
 			wantErr: true,
 		},
+		{
+			name: "inactive validator",
+			args: args{
+				goCtx: ctx,
+				msg: &types.MsgLiquidStakeLSM{
+					DelegatorAddress: suite.chainA.SenderAccount.GetAddress().String(),
+					Delegations:      sdk.NewCoins(sdk.NewCoin(lsmIbcDenomZeroWeight, sdk.NewInt(4))),
+				},
+				chainActive:         true,
+				lsmActive:           true,
+				createSecondDeposit: true,
+			},
+			want:    nil,
+			wantErr: true,
+		},
 	}
 
 	for _, tt := range tests {