feat: Add DeviceWrapRegistry with Hats-based Guardian System

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IMPLEMENTATION_SUMMARY.md

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+# Device Wrap Registry with Guardian Council - Implementation Summary
+
+## Overview
+
+This implementation adds a **Guardian Council** system governed by the **POA Manager** using **Hats Protocol** for role management. The system provides:
+
+1. **Account recovery** via guardian quorum approval
+2. **Over-cap device wrap approval** (4th generation+ devices) via guardian quorum
+
+## Key Differences from Original Plan
+
+The main modification from the original plan is the use of **Hats Protocol** for guardian role management instead of a simple mapping:
+
+### Original Approach
+```solidity
+mapping(address => bool) isGuardian;
+uint256 guardianCount;
+```
+
+### Implemented Approach (with Hats)
+```solidity
+IHats hats;                  // Hats Protocol interface
+uint256 guardianHatId;       // Single hat ID for guardian role
+```
+
+**Benefits:**
+- Leverages existing Hats Protocol infrastructure in the codebase
+- Centralized role management through Hats
+- POA Manager can manage guardian membership via Hats Protocol
+- More flexible and maintainable
+
+## Contracts Modified/Created
+
+### 1. UniversalAccountRegistry (Modified)
+
+**File:** `src/UniversalAccountRegistry.sol`
+
+**Changes:**
+- Added `recoveryCaller` storage field - address authorized to call recovery
+- Added `orgApprover` storage field - optional org-level recovery approver
+- Added `recoverAccount(address from, address to)` function - transfers username from one address to another
+- Added admin functions: `setRecoveryCaller()`, `setOrgApprover()`
+- Added view functions: `getRecoveryCaller()`, `getOrgApprover()`
+- Added new errors: `NotAuthorizedRecoveryCaller`, `NoUsername`, `SameAddress`, `AddressAlreadyHasUsername`
+- Added new events: `RecoveryCallerChanged`, `OrgApproverChanged`, `AccountRecovered`
+
+**Key Function:**
+```solidity
+function recoverAccount(address from, address to) external {
+    // Only authorized recovery caller or org approver can call
+    if (msg.sender != l.recoveryCaller && msg.sender != l.orgApprover) {
+        revert NotAuthorizedRecoveryCaller();
+    }
+    // Transfer username from 'from' address to 'to' address
+    // ...
+}
+```
+
+### 2. DeviceWrapRegistry (New)
+
+**File:** `src/DeviceWrapRegistry.sol`
+
+**Purpose:** Manages encrypted device wraps with guardian-gated approval system
+
+**Key Features:**
+
+#### Storage Structure
+```solidity
+struct Layout {
+    mapping(address => Wrap[]) wrapsOf;           // User's device wraps
+    mapping(address => mapping(uint256 => uint256)) approvalsWrap;  // Approval counts
+    mapping(address => mapping(uint256 => mapping(address => bool))) votedWrap;  // Vote tracking
+    uint256 maxInstantWraps;                      // Cap for instant approval (default: 3)
+
+    // Hats integration
+    IHats hats;                                   // Hats Protocol interface
+    uint256 guardianHatId;                        // Guardian role hat ID
+    uint256 guardianThreshold;                    // Quorum threshold (default: 1)
+
+    // Recovery state
+    mapping(bytes32 => TransferState) transfer;   // Account transfer proposals
+    IUniversalAccountRegistry uar;                // Registry reference
+}
+```
+
+#### Wrap Lifecycle
+
+1. **Add Wrap** (`addWrap`)
+   - If active wraps < `maxInstantWraps` (3) → **Active** immediately
+   - If active wraps >= `maxInstantWraps` → **Pending** (requires guardian approval)
+
+2. **Guardian Approve Wrap** (`guardianApproveWrap`)
+   - Only guardian hat wearers can approve
+   - Tracks approvals and prevents double-voting
+   - Auto-finalizes when threshold reached
+
+3. **Revoke Wrap** (`revokeWrap`)
+   - Owner can always revoke their own wraps
+
+#### Account Recovery Flow
+
+1. **Propose Transfer** (`proposeAccountTransfer`)
+   - Anyone can propose a transfer
+   - Creates deterministic transfer ID: `keccak256(contractAddress, chainId, from, to)`
+
+2. **Guardian Approve Transfer** (`guardianApproveTransfer`)
+   - Only guardian hat wearers can approve
+   - Tracks approvals and prevents double-voting
+   - Auto-executes when threshold reached
+
+3. **Execute Transfer** (`executeTransfer` or auto-execute)
+   - Calls `UAR.recoverAccount(from, to)`
+   - Transfers username from old address to new address
+
+#### Guardian Management (POA Manager Only)
+
+```solidity
+function setGuardianHat(uint256 hatId) external onlyOwner;
+function setGuardianThreshold(uint256 t) external onlyOwner;
+function setMaxInstantWraps(uint256 n) external onlyOwner;
+```
+
+#### Guardian Check (via Hats Protocol)
+
+```solidity
+modifier onlyGuardian() {
+    if (guardianHatId == 0 || !hats.isWearerOfHat(msg.sender, guardianHatId)) {
+        revert NotGuardian();
+    }
+    _;
+}
+```
+
+### 3. DeviceWrapRegistry Tests (New)
+
+**File:** `test/DeviceWrapRegistry.t.sol`
+
+**Test Coverage (12 tests, all passing):**
+
+1. ✅ `testInitialization` - Verifies default values
+2. ✅ `testIsGuardian` - Checks guardian hat verification
+3. ✅ `testAddWrapWithinCap` - Instant approval for wraps within cap
+4. ✅ `testAddWrapOverCapRequiresApproval` - Pending status for over-cap wraps
+5. ✅ `testGuardianApproveWrap` - Single guardian approval with threshold=1
+6. ✅ `testGuardianApproveWrapWithThreshold` - Multi-guardian approval with threshold=2
+7. ✅ `testRevokeWrap` - Owner can revoke wraps
+8. ✅ `testProposeAccountTransfer` - Transfer proposal creation
+9. ✅ `testGuardianApproveTransfer` - Single guardian transfer approval
+10. ✅ `testGuardianApproveTransferWithThreshold` - Multi-guardian transfer approval
+11. ✅ `testCannotApproveWrapTwice` - Prevents double-voting
+12. ✅ `testNonGuardianCannotApprove` - Access control enforcement
+
+## Deployment & Setup Flow
+
+```solidity
+// 1. Deploy UniversalAccountRegistry
+UniversalAccountRegistry uar = new UniversalAccountRegistry();
+uar.initialize(poaManager);
+
+// 2. Deploy DeviceWrapRegistry
+DeviceWrapRegistry dwr = new DeviceWrapRegistry();
+dwr.initialize(poaManager, address(uar), address(hats));
+
+// 3. POA Manager sets guardian hat
+dwr.setGuardianHat(GUARDIAN_HAT_ID);
+
+// 4. POA Manager sets threshold (optional, default is 1)
+dwr.setGuardianThreshold(2); // Require 2 guardians
+
+// 5. POA Manager authorizes DWR to call recovery in UAR
+uar.setRecoveryCaller(address(dwr));
+
+// 6. POA Manager can update maxInstantWraps (optional, default is 3)
+dwr.setMaxInstantWraps(5);
+```
+
+## Usage Examples
+
+### User Adds Device Wraps
+
+```solidity
+// User adds first 3 devices - instant approval
+for (uint i = 0; i < 3; i++) {
+    Wrap memory wrap = Wrap({
+        credentialHint: keccak256(credentialId),
+        salt: hkdfSalt,
+        iv: aesGcmIv,
+        aadHash: keccak256(rpIdHash || credentialHint || owner),
+        cid: "ipfs://Qm...",
+        status: WrapStatus.Active,
+        createdAt: 0
+    });
+
+    uint256 idx = dwr.addWrap(wrap);
+    // Wrap is Active immediately
+}
+
+// User adds 4th device - requires guardian approval
+Wrap memory wrap4 = Wrap({...});
+uint256 idx = dwr.addWrap(wrap4);
+// Wrap is Pending, awaits guardian approval
+```
+
+### Guardians Approve Over-Cap Wrap
+
+```solidity
+// Guardian 1 approves
+dwr.guardianApproveWrap(userAddress, wrapIndex);
+
+// If threshold > 1, Guardian 2 approves
+dwr.guardianApproveWrap(userAddress, wrapIndex);
+
+// Once threshold reached, wrap auto-finalizes to Active
+```
+
+### Account Recovery
+
+```solidity
+// Step 1: Propose transfer (anyone can propose)
+dwr.proposeAccountTransfer(lostAddress, newAddress);
+
+// Step 2: Guardians approve
+dwr.guardianApproveTransfer(lostAddress, newAddress);
+// (If threshold=1, executes immediately)
+
+// Step 3: Additional guardians if needed
+dwr.guardianApproveTransfer(lostAddress, newAddress);
+// (Auto-executes when threshold reached)
+
+// Username is now transferred from lostAddress to newAddress
+```
+
+## Security Considerations
+
+1. **Guardian Hat Management**: POA Manager must ensure guardian hat is properly configured in Hats Protocol before use
+2. **Threshold Configuration**: Threshold must be ≤ number of guardian hat wearers
+3. **Recovery Authorization**: UAR must have DWR set as `recoveryCaller` for recovery to work
+4. **No Timelocks**: Approvals execute immediately upon reaching quorum (as specified in requirements)
+5. **Double-Vote Prevention**: System prevents same guardian from approving twice
+6. **Access Control**: Only guardian hat wearers can approve, only POA Manager can configure
+
+## Gas Optimization Notes
+
+- Uses ERC-7201 storage pattern for upgradeability
+- Batch operations not implemented (future enhancement)
+- Efficient storage layout with packed structs where possible
+
+## Future Enhancements
+
+1. **Batch Operations**: Add batch approval functions for guardians
+2. **Timelock Option**: Add optional timelock/delay for sensitive operations
+3. **Wrap Expiry**: Add expiration timestamps for wraps
+4. **Transfer History**: Track full recovery history
+5. **Guardian Rotation**: Support for changing guardian hat without disrupting ongoing approvals
+
+## Testing
+
+All contracts compile successfully and pass comprehensive test suite:
+- 12/12 tests passing
+- Coverage includes happy paths, access control, and error cases
+- Integration testing with MockHats for Hats Protocol simulation
+
+## Files Changed
+
+- ✅ `src/UniversalAccountRegistry.sol` (modified)
+- ✅ `src/DeviceWrapRegistry.sol` (new)
+- ✅ `test/DeviceWrapRegistry.t.sol` (new)
+
+## Branch
+
+`device-wrap-guardian-hats`