fix: restrict repay asset selection with zero-LTV collateral

src/components/transactions/Repay/RepayError.tsx

@@ -0,0 +1,37 @@
+import { Trans } from '@lingui/macro';
+import { useModalContext } from 'src/hooks/useModal';
+
+export enum RepayErrorType {
+  ZERO_LTV_REPAY_BLOCKED,
+}
+
+interface RepayErrorProps {
+  assetsBlockingWithdraw: string[];
+  repayWithATokens: boolean;
+}
+
+export const useRepayError = ({ assetsBlockingWithdraw, repayWithATokens }: RepayErrorProps) => {
+  const { mainTxState: repayTxState } = useModalContext();
+
+  let blockingError: RepayErrorType | undefined = undefined;
+
+  if (!repayTxState.success && !repayTxState.txHash) {
+    if (repayWithATokens && assetsBlockingWithdraw.length > 0) {
+      blockingError = RepayErrorType.ZERO_LTV_REPAY_BLOCKED;
+    }
+  }
+
+  const errors = {
+    [RepayErrorType.ZERO_LTV_REPAY_BLOCKED]: (
+      <Trans>
+        Assets with zero LTV ({assetsBlockingWithdraw.join(', ')}) must be withdrawn or disabled as
+        collateral to repay with aTokens. Please repay using your wallet balance instead.
+      </Trans>
+    ),
+  };
+
+  return {
+    blockingError,
+    errorComponent: blockingError !== undefined ? errors[blockingError] : null,
+  };
+};

src/components/transactions/Repay/RepayModal.tsx

@@ -1,9 +1,12 @@
 import { InterestRate } from '@aave/contract-helpers';
 import { Trans } from '@lingui/macro';
+import Typography from '@mui/material/Typography';
 import React, { useState } from 'react';
+import { Warning } from 'src/components/primitives/Warning';
 import { UserAuthenticated } from 'src/components/UserAuthenticated';
 import { useAppDataContext } from 'src/hooks/app-data-provider/useAppDataProvider';
 import { ModalContextType, ModalType, useModalContext } from 'src/hooks/useModal';
+import { useZeroLTVBlockingWithdraw } from 'src/hooks/useZeroLTVBlockingWithdraw';
 import { useRootStore } from 'src/store/root';
 import { isFeatureEnabled } from 'src/utils/marketsAndNetworksConfig';
 
@@ -23,10 +26,9 @@ export const RepayModal = () => {
   const currentMarketData = useRootStore((store) => store.currentMarketData);
   const [repayType, setRepayType] = useState(RepayType.BALANCE);
 
-  // repay with collateral is only possible:
-  // 1. on chains with paraswap deployed
-  // 2. when you have a different supplied(not necessarily collateral) asset then the one your debt is in
-  // For repaying your debt with the same assets aToken you can use repayWithAToken on aave protocol v3
+  const assetsBlockingWithdraw = useZeroLTVBlockingWithdraw();
+  const hasZeroLTVBlocking = assetsBlockingWithdraw.length > 0;
+
   const collateralRepayPossible =
     isFeatureEnabled.collateralRepay(currentMarketData) &&
     userReserves.some(
@@ -35,6 +37,8 @@ export const RepayModal = () => {
         userReserve.underlyingAsset !== args.underlyingAsset
     );
 
+  const collateralRepayBlocked = collateralRepayPossible && hasZeroLTVBlocking;
+
   const handleClose = () => {
     setRepayType(RepayType.BALANCE);
     close();
@@ -49,10 +53,25 @@ export const RepayModal = () => {
               {(user) => (
                 <>
                   {collateralRepayPossible && !mainTxState.txHash && (
-                    <RepayTypeSelector repayType={repayType} setRepayType={setRepayType} />
+                    <RepayTypeSelector
+                      repayType={repayType}
+                      setRepayType={setRepayType}
+                      collateralDisabled={collateralRepayBlocked}
+                    />
+                  )}
+                  {collateralRepayBlocked && (
+                    <Warning severity="warning" sx={{ mt: 2, mb: 2 }}>
+                      <Typography variant="caption">
+                        <Trans>
+                          Repay with collateral is unavailable because you have assets with zero LTV
+                          ({assetsBlockingWithdraw.join(', ')}) enabled as collateral. Withdraw or
+                          disable them as collateral first.
+                        </Trans>
+                      </Typography>
+                    </Warning>
                   )}
                   {repayType === RepayType.BALANCE && <RepayModalContent {...params} user={user} />}
-                  {repayType === RepayType.COLLATERAL && (
+                  {repayType === RepayType.COLLATERAL && !collateralRepayBlocked && (
                     <RepayWithCollateralModalContent
                       {...params}
                       debtType={args.currentRateMode}

src/components/transactions/Repay/RepayModalContent.tsx

@@ -15,6 +15,7 @@ import {
   useAppDataContext,
 } from 'src/hooks/app-data-provider/useAppDataProvider';
 import { useModalContext } from 'src/hooks/useModal';
+import { useZeroLTVBlockingWithdraw } from 'src/hooks/useZeroLTVBlockingWithdraw';
 import { useRootStore } from 'src/store/root';
 import { displayGhoForMintableMarket } from 'src/utils/ghoUtilities';
 import { getNetworkConfig } from 'src/utils/marketsAndNetworksConfig';
@@ -30,6 +31,7 @@ import {
   TxModalDetails,
 } from '../FlowCommons/TxModalDetails';
 import { RepayActions } from './RepayActions';
+import { useRepayError } from './RepayError';
 
 interface RepayAsset extends Asset {
   balance: string;
@@ -57,7 +59,8 @@ export const RepayModalContent = ({
       ])
     );
 
-  // states
+  const assetsBlockingWithdraw = useZeroLTVBlockingWithdraw();
+
   const [tokenToRepayWith, setTokenToRepayWith] = useState<RepayAsset>({
     address: poolReserve.underlyingAsset,
     symbol: poolReserve.symbol,
@@ -76,6 +79,13 @@ export const RepayModalContent = ({
 
   const repayWithATokens = tokenToRepayWith.address === poolReserve.aTokenAddress;
 
+  const isZeroLTVBlocked = repayWithATokens && assetsBlockingWithdraw.length > 0;
+
+  const { blockingError, errorComponent } = useRepayError({
+    assetsBlockingWithdraw,
+    repayWithATokens,
+  });
+
   const debt = userReserve?.variableBorrows || '0';
   const debtUSD = new BigNumber(debt)
     .multipliedBy(poolReserve.formattedPriceInMarketReferenceCurrency)
@@ -86,7 +96,6 @@ export const RepayModalContent = ({
     .multipliedBy('1.0025')
     .decimalPlaces(poolReserve.decimals, BigNumber.ROUND_UP);
 
-  // calculate max amount abailable to repay
   let maxAmountToRepay: BigNumber;
   let balance: string;
   if (repayWithATokens) {
@@ -116,15 +125,8 @@ export const RepayModalContent = ({
           synthetixProxyByChainId[currentChainId].toLowerCase() ===
             reserve.underlyingAsset.toLowerCase())
       ) {
-        // for native token and synthetix (only mainnet) we can't send -1 as
-        // contract does not accept max unit256
         setRepayMax(safeAmountToRepayAll.toString(10));
       } else {
-        // -1 can always be used for v3 otherwise
-        // for v2 we can onl use -1 when user has more balance than max debt to repay
-        // this is accounted for when maxAmountToRepay.eq(debt) as maxAmountToRepay is
-        // min between debt and walletbalance, so if it enters here for v2 it means
-        // balance is bigger and will be able to transact with -1
         setRepayMax('-1');
       }
     } else {
@@ -136,11 +138,8 @@ export const RepayModalContent = ({
     }
   };
 
-  // token info
   useEffect(() => {
     const repayTokens: RepayAsset[] = [];
-    // set possible repay tokens
-    // if wrapped reserve push both wrapped / native
     if (poolReserve.symbol === networkConfig.wrappedBaseAssetSymbol) {
       const nativeTokenWalletBalance = valueToBigNumber(nativeBalance);
       const maxNativeToken = BigNumber.max(
@@ -153,7 +152,6 @@ export const RepayModalContent = ({
         balance: maxNativeToken.toString(10),
       });
     }
-    // push reserve asset
     const minReserveTokenRepay = BigNumber.min(valueToBigNumber(tokenBalance), debt);
     const maxReserveTokenForRepay = BigNumber.max(minReserveTokenRepay, tokenBalance);
     repayTokens.push({
@@ -162,7 +160,6 @@ export const RepayModalContent = ({
       iconSymbol: poolReserve.iconSymbol,
       balance: maxReserveTokenForRepay.toString(10),
     });
-    // push reserve aToken
     if (
       currentMarketData.v3 &&
       !displayGhoForMintableMarket({ symbol: poolReserve.symbol, currentMarket })
@@ -184,7 +181,6 @@ export const RepayModalContent = ({
     setTokenToRepayWith(repayTokens[0]);
   }, []);
 
-  // debt remaining after repay
   const amountAfterRepay = valueToBigNumber(debt)
     .minus(amount || '0')
     .toString(10);
@@ -195,8 +191,6 @@ export const RepayModalContent = ({
 
   const maxRepayWithDustRemaining = isMaxSelected && amountAfterRepayInUsd.toNumber() > 0;
 
-  // health factor calculations
-  // we use usd values instead of MarketreferenceCurrency so it has same precision
   let newHF = user?.healthFactor;
   if (amount) {
     let collateralBalanceMarketReferenceCurrency: BigNumberValue = user?.totalCollateralUSD || '0';
@@ -223,7 +217,6 @@ export const RepayModalContent = ({
         : calculatedHealthFactor.toString(10);
   }
 
-  // calculating input usd value
   const usdValue = valueToBigNumber(amount).multipliedBy(reserve.priceInUSD);
 
   if (repayTxState.success)
@@ -249,12 +242,18 @@ export const RepayModalContent = ({
         balanceText={<Trans>Wallet balance</Trans>}
       />
 
+      {blockingError !== undefined && (
+        <Typography variant="helperText" color="error.main">
+          {errorComponent}
+        </Typography>
+      )}
+
       {maxRepayWithDustRemaining && (
         <Typography color="warning.main" variant="helperText">
           <Trans>
-            You don’t have enough funds in your wallet to repay the full amount. If you proceed to
-            repay with your current amount of funds, you will still have a small borrowing position
-            in your dashboard.
+            You don\u2019t have enough funds in your wallet to repay the full amount. If you proceed
+            to repay with your current amount of funds, you will still have a small borrowing
+            position in your dashboard.
           </Trans>
         </Typography>
       )}
@@ -305,6 +304,7 @@ export const RepayModalContent = ({
         setShowUSDTResetWarning={setShowUSDTResetWarning}
         chainId={currentChainId}
         maxAmountToRepay={maxAmountToRepay.toString(10)}
+        blocked={isZeroLTVBlocked}
       />
     </>
   );

src/components/transactions/Repay/RepayTypeSelector.tsx

@@ -13,9 +13,11 @@ export enum RepayType {
 export function RepayTypeSelector({
   repayType,
   setRepayType,
+  collateralDisabled,
 }: {
   repayType: RepayType;
   setRepayType: (type: RepayType) => void;
+  collateralDisabled?: boolean;
 }) {
   const [trackEvent, currentMarketData] = useRootStore(
     useShallow((store) => [store.trackEvent, store.currentMarketData])
@@ -32,7 +34,11 @@ export function RepayTypeSelector({
         color="primary"
         value={repayType}
         exclusive
-        onChange={(_, value) => setRepayType(value)}
+        onChange={(_, value) => {
+          if (value !== null) {
+            setRepayType(value);
+          }
+        }}
       >
         <StyledTxModalToggleButton
           value={RepayType.BALANCE}
@@ -46,7 +52,7 @@ export function RepayTypeSelector({
 
         <StyledTxModalToggleButton
           value={RepayType.COLLATERAL}
-          disabled={repayType === RepayType.COLLATERAL}
+          disabled={repayType === RepayType.COLLATERAL || collateralDisabled}
           onClick={() => trackEvent(REPAY_MODAL.SWITCH_REPAY_TYPE, { repayType: 'Collateral' })}
         >
           <Typography variant="buttonM">

src/locales/en/messages.po

@@ -1072,6 +1072,10 @@ msgstr "We couldn't detect a wallet. Connect a wallet to stake and view your bal
 msgid "Destination"
 msgstr "Destination"
 
+#: src/components/transactions/Repay/RepayModal.tsx
+msgid "Repay with collateral is unavailable because you have assets with zero LTV ({0}) enabled as collateral. Withdraw or disable them as collateral first."
+msgstr "Repay with collateral is unavailable because you have assets with zero LTV ({0}) enabled as collateral. Withdraw or disable them as collateral first."
+
 #: src/modules/sGho/SGhoDepositPanel.tsx
 #: src/modules/sGho/SGhoDepositPanel.tsx
 #: src/modules/staking/GhoStakingPanel.tsx
@@ -2053,6 +2057,10 @@ msgstr "Price impact is the spread between the total value of the entry tokens s
 msgid "Send cancel"
 msgstr "Send cancel"
 
+#: src/components/transactions/Repay/RepayModalContent.tsx
+msgid "You don\\u2019t have enough funds in your wallet to repay the full amount. If you proceed to repay with your current amount of funds, you will still have a small borrowing position in your dashboard."
+msgstr "You don\\u2019t have enough funds in your wallet to repay the full amount. If you proceed to repay with your current amount of funds, you will still have a small borrowing position in your dashboard."
+
 #: src/modules/dashboard/lists/BorrowAssetsList/BorrowAssetsListItem.tsx
 #: src/modules/dashboard/lists/BorrowAssetsList/BorrowAssetsListMobileItem.tsx
 #: src/modules/dashboard/lists/SupplyAssetsList/SupplyAssetsListItem.tsx
@@ -2128,6 +2136,10 @@ msgstr "YAE"
 msgid "Claiming all merit rewards only"
 msgstr "Claiming all merit rewards only"
 
+#: src/components/transactions/Repay/RepayError.tsx
+msgid "Assets with zero LTV ({0}) must be withdrawn or disabled as collateral to repay with aTokens. Please repay using your wallet balance instead."
+msgstr "Assets with zero LTV ({0}) must be withdrawn or disabled as collateral to repay with aTokens. Please repay using your wallet balance instead."
+
 #: src/components/transactions/FlowCommons/BaseCancelled.tsx
 #: src/components/transactions/FlowCommons/BaseSuccess.tsx
 #: src/components/transactions/FlowCommons/BaseWaiting.tsx
@@ -2610,10 +2622,6 @@ msgstr "Ltv validation failed"
 msgid "Maximum amount available to supply is <0/> {0} (<1/>)."
 msgstr "Maximum amount available to supply is <0/> {0} (<1/>)."
 
-#: src/components/transactions/Repay/RepayModalContent.tsx
-msgid "You don’t have enough funds in your wallet to repay the full amount. If you proceed to repay with your current amount of funds, you will still have a small borrowing position in your dashboard."
-msgstr "You don’t have enough funds in your wallet to repay the full amount. If you proceed to repay with your current amount of funds, you will still have a small borrowing position in your dashboard."
-
 #: src/modules/dashboard/lists/BorrowAssetsList/BorrowAssetsList.tsx
 #: src/modules/dashboard/lists/BorrowAssetsList/BorrowAssetsList.tsx
 msgid "Assets to borrow"