`Error in plugin hardhat-vyper: File should always be found`

[pcaversaccio]

Version of Hardhat

2.22.5

What happened?

When I pushed the upgrade to Vyper version 0.4.0 here https://github.com/pcaversaccio/zksync-vyper-sandbox/commit/83b79c86f62e14038995dd18cd17f7102ddcf03c, the compilation started to fail with:

Solidity 0.8.26 is not fully supported yet. You can still use Hardhat, but some features, like stack traces, might not work correctly.

Learn more at https://hardhat.org/hardhat-runner/docs/reference/solidity-support

No need to generate any newer typings.
Compiling contracts for zkSync Era with zkvyper v1.5.1 and vyper v0.4.0
Error in plugin hardhat-vyper: File should always be found

For more info run Hardhat with --show-stack-traces

Minimal reproduction steps

1. Clone this repo: https://github.com/pcaversaccio/zksync-vyper-sandbox.
2. pnpm install
3. pnpm compile

Search terms

vyper, hardhat-vyper