Sherlock V2
Initiating Coverage
If a protocol is interested in getting coverage from Sherlock, they can specify the amount of coverage they are looking for, the start date of coverage, and the contracts to cover.
On Sherlock's end, the first step is to do a "first look." This is where a security expert from Sherlock takes an abbreviated look at the protocol. This look includes everything from the size and complexity of the codebase, to any oracles and composable protocols interacted with.
Once a Watson has achieved a better understanding of the protocol, Sherlock can then give the protocol a range of where pricing will fall. Until a deeper dive is completed (which can take weeks), the exact price cannot be known. However, if the protocol agrees to the range given, Sherlock can then spend the resources to do a deep security assessment.
If the deep dive is completed and the protocol no longer agrees to a price that is within the initial range, a breakage fee may be applicable. This is to compensate the Watsons who spent time and effort looking into this protocol.
Once the deeper security assessment is completed, Sherlock will give an exact price to the protocol. If the price is within the initial range (as expected), then the protocol should agree to it or pay the breakage fee. If the protocol agrees, then a start date for coverage can be agreed upon and the first payment to Sherlock's Protocol Manager contract can be made.
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