useAndRepay function can be used to underflow the principal debt of a credit

Lines of code Vulnerability details The function useAndRepay present in the SpigotedLine contract doesn't check that the amount is within the debt limit and can be used by a malicious lender to underflow the principal variable and manipulate the debt of a credit. Impact A malicious lender can use...

Borrower's principal can be enormous due to underflow

Lines of code Vulnerability details Impact The lender and the borrower can repay borrower's debt using unusedTokens in SpigotedLine.useAndRepay function. The repay amount can be as much as unusedTokenscredit.token in SpigotedLine.useAndRepay143. The actual repay is handled in CreditLib.repay, and...

Line of credit status can be set to REPAID even if having credits with debt

Lines of code Vulnerability details A malicious borrower can close non-existing credits to alter the status of the credit to LineLib.STATUS.REPAID, even if having open credit with debt. Impact The close function in the LineOfCredit contract can be used to close non-existing credits, which will...

Microsoft Security tips for mitigating risk in mergers and acquisitions

Sixty-two percent of organizations that undertake mergers and acquisitions face significant cybersecurity risks or consider cyber risks their biggest concern post-acquisition.1 Threat actors that focus on corporate espionage often target the acquiring company, which we will refer to as the Parent...

Microsoft Security tips for mitigating risk in mergers and acquisitions

Sixty-two percent of organizations that undertake mergers and acquisitions face significant cybersecurity risks or consider cyber risks their biggest concern post-acquisition.1 Threat actors that focus on corporate espionage often target the acquiring company, which we will refer to as the Parent...

DBR can be reused between multiple debtor accounts

Lines of code Vulnerability details Impact A borrower can reuse DBR between various accounts. When a user attempts to call forceReplenish, the borrower will transfer the held DBR to the targeted account. In theory, a borrower can have infinite accounts in DBR debt but enough DBR on a single accou...

replenishmentPriceBps can be set arbitrarily high by the operator

Lines of code Vulnerability details Impact The operator can increase the debt of a user with any deficit, beyond what is reasonable. Proof of Concept replenishmentPriceBps can be set arbitrarily high by the operator: function setReplenishmentPriceBpsuint newReplenishmentPriceBps public onlyOperat...

In DBR.sol when burning dueTokensAccrued is not decrased

Lines of code Vulnerability details Impact When burning we should also decrease the dueTokensAccrued balance as there is no other way to decrease it, and it makes sense that repaying the DBR should reduce the token debt. Proof of Concept The dueTokensAccrued can only increase l.288, while when...

Arbitrary user can prevent withdrawals on any users through liquidation

Lines of code Vulnerability details Impact The function liquidate is a public function that handles the repayment of debt and provides a reward for users who call this function. Any user can be liquidated if they have debt outstanding. A user incurs debt if they borrow from the market, based on a...

no interest calculation charging & lp provider reward in market contract

Lines of code Vulnerability details Impact there is no accrued interest charging for the borrower' debt, borrower at the same time cannot decrease their accured interestthis bug's detail is present in my previous finding, and there is also no reward for those lp provider who deposit their token i...

A week in security (October 17 - 23)

Last week on Malwarebytes Labs: Thermal cameras could help reveal your password How to spot a scam Warning: "FaceStealer" iOS and Android apps steal your Facebook login Criminal group busted after stealing hundreds of keyless cars Fake tractor fraudsters plague online transactions DeadBolt...

Looking for student debt relief? Watch out for scammers says the FBI

The FBI believes that scammers may be after people applying for the One-Time Federal Student Loan Debt Relief, a program announced by the Biden-Harris Administration in August 2022 that provides up to $20,000 in student loan debt relief. In a recent public service announcement, the agency warned ...

NSA Employee Charged with Espionage

An ex-NSA employee has been charged with trying to sell classified data to the Russians but instead actually talking to an undercover FBI agent. Its a weird story, and the FBI affidavit raises more questions than it answers. The employee only worked for the NSA for three weeks--which is weird in...

Pausing can cause serious bad debt since debt can't be liquidated.

Lines of code Vulnerability details Impact Pausing can cause serious bad debt since debt can't be liquidated. For example, if 1 UST is used as collateral to borrow 0.7 USDT 30% safety. Then UST crashed and chainlink stopped working. You left no choice but to pause the contract. After that UST...

repayAsset() but you will not receive your Collateral

Lines of code Vulnerability details Impact The user will just pay down the debt Proof of Concept By invoking repayAsset you will just pay the Asset Token, on the other hand, he does not send any amount of my Collateral Recommended Mitigation Steps Add a function to send the Collateral after...

Community's escrow allows for signature replay

Lines of code Vulnerability details checkSignatureValidity verification by signature do not utilize nonces and can be tricked by using owner / builder signatures from earlier calls. Namely, while checkSignatureValidity's approvedHashes based way can used only once as it deletes the corresponding...

Builder can reduce his debt more than expected by replaying signature

Lines of code Vulnerability details Impact A builder can, after it convened with the lender and an external agent to reduce his debt through escrow, reuse the signature and pass it again to escrow many times. This allows him to reduce his debt more than expected, leaving the lender at a loss. Pro...

Lent principal includes lender fee

Lines of code Vulnerability details Impact A community owner is able to lend funds to a project by calling the function Community.lendToProject. Lending requires the lender to pay a lenderFee, a percentage of the fee a lender has to pay to the HomeFi system. However, the current implementation...

How to Combat the Biggest Security Risks Posed by Machine Identities

The rise of DevOps culture in enterprises has accelerated product delivery timelines. Automation undoubtedly has its advantages. However, containerization and the rise of cloud software development are exposing organizations to a sprawling new attack surface. Machine identities vastly outnumber...

Incorrect amount of Collateral moves for Auction

Lines of code Vulnerability details Impact It was observed that the debt and collateral which moves for Auction is calculated incorrectly. In case where line.proportion is set to small value, chances are art will become lower than min debt. This causes whole collateral to go for auction, which wa...