Liquidated positions can potential have non-zero debts, making users who deposit to the positions suffer from unfair debt

Handle WatchPug Vulnerability details In the current implementation, new borrows will be charged a 0.5% interest right away. Making the borrower be recorded a 100.5% amount of debt. However, when a position got liquidated, the unrealized interest may still remain in the position while the...

A malicious user can potentially escape liquidation by creating a dust amount position and trigger the liquidation by themself

Handle WatchPug Vulnerability details In the current implementation, a liquidated position can be used for depositing and borrowing again. However, if there is a liquidation auction ongoing, even if the position is now liquidatable, the call of triggerLiquidation will still fail. The liquidator...

liquidation factor < collateral factor for Sigma type

Handle cmichel Vulnerability details The MochiProfileV0 defines liquidation and collateral factors for different asset types. For the AssetClass.Sigma type, the liquidation factor is less than the collateral factor: function liquidationFactoraddress asset public view override returns float memory...

Vault fails to track debt correctly that leads to bad debt

Handle jonah1005 Vulnerability details Impact It's similar to the issue "misuse amount as increasing debt in the vault contract". Similar issue in a different place that leads to different exploit patterns and severity. When users borrow usdm from a vault, the debt increased by the amount 1.005...

One auction at a time would lead to bad debt

Handle jonah1005 Vulnerability details One auction at a time would lead to bad debt Impact The current DutchAuctionLiquidator only allows one auction for a position at a time. This is not a desirable design. If a position is liquidated due to the price movement of collaterals, the position would...

Liquidation will never work with non-zero discounts

Handle harleythedog Vulnerability details Impact Right now, there is only one discount profile in the github repo: the "NoDiscountProfile" which does not discount the debt at all. This specific discount profile works correctly, but I claim that any other discount profile will result in liquidatio...

registerAsset would change asset class of existing asset

Handle jonah1005 Vulnerability details Impact The permissionless function registerAsset only checks current liquidity. There's no sanity check whether the asset has registered as another asset class. An attacker can set an asset into AssetClass.Sigma. Unexpected liquidation would happen if an Alp...

registerAsset() can overwrite _assetClass value

Handle gpersoon Vulnerability details Impact Everyone can call the function registerAsset of MochiProfileV0.sol Assuming the liquidity for the asset is sufficient, registerAsset will reset the assetClass of an already registered asset to AssetClass.Sigma. When the assetClass is changed to...

ChainLink price data could be stale

Handle cmichel Vulnerability details There is no check in UniswapV3Oracle.ethPrice if the return values indicate stale data. This could lead to stale prices according to the Chainlink documentation: under current notifications: "if answeredInRound roundId could indicate stale data." under...

Liquidation can be escaped by depositing a Uni v3 position with 0 liquidity

Handle WatchPug Vulnerability details When the liquidator is trying to liquidate a undercolldarezed loan by calling liquidateAccount, it calls unwrapUniPosition - uniV3Helper.removeLiquidity - positionManager.decreaseLiquidity. However, when the Uni v3 position has 0 liquidity,...

onlyOwner Role Can Manipulate Price Oracle

Handle leastwood Vulnerability details Impact The V2 LendingController.sol contract incorporates a custom oracle used to fetch the relevant price feeds for token pairs. The onlyOwner role is controlled by a modified timelock contract callable only from a single externally owned account. This role...

Attackers can force liquidations by borrowing large amounts of an asset.

Handle tensors Vulnerability details Impact Consider an attacker who borrows enough to greatly increase the oracle rate. It is claimed that arbitrageurs will come in a fix this discrepancy before the attacker has a chance to profit off of his price manipulation: "Over the next 1 hour, the effect ...

Incorrect TCR calculation in batchLiquidateTroves() during Recovery Mode

TCR is temporarily miscalculated in the batchLiquidateTroves function during Recovery Mode. The bug lies in batchLiquidateTroves of TroveManager. When calculating system's entire collateral, we should also exclude the liquidated trove's surplus collateral, since liquidation closes the trove and...

GHSA-XH2P-7P87-FHGH Incorrect TCR calculation in batchLiquidateTroves() during Recovery Mode

TCR is temporarily miscalculated in the batchLiquidateTroves function during Recovery Mode. The bug lies in batchLiquidateTroves of TroveManager. When calculating system's entire collateral, we should also exclude the liquidated trove's surplus collateral, since liquidation closes the trove and...

ChainLink price data could be stale

Handle cmichel Vulnerability details There is no check in UniswapV3Oracle.ethPrice if the return values indicate stale data. This could lead to stale prices according to the Chainlink documentation: under current notifications: "if answeredInRound roundId could indicate stale data." under...

Insurance slippage reimbursement can be used to steal insurance fund

Handle cmichel Vulnerability details The Liquidation contract allows the liquidator to submit "bad" trade orders and the insurance reimburses them from the insurance fund, see Liquidation.claimReceipt. The function can be called with an orders array which does not check for duplicate orders. An...

Users can avoid paying borrowing interest after the fyToken matures

Handle shw Vulnerability details Impact According to the protocol design, users have to pay borrowing interest when repaying the debt with underlying tokens after maturity. However, a user can give his vault to Witch and then buy all his collateral using underlying tokens to avoid paying the...

Uninitialized or Incorrectly set auctionInterval may lead to liquidation engine livelock

Handle 0xRajeev Vulnerability details Impact The grab function in Cauldron is used by the Witch or other liquidation engines to grab vaults that are under-collateralized. To prevent re-grabbing without sufficient time for auctioning collateral/debt, the logic uses an auctionInterval threshold to...

Vaults are in liquidation forever instead of just for auction length

Handle cmichel Vulnerability details The witch can Witch.grab vaults and the vaultOwnersvaultId field is set to the original owner. The original vault owner is only restored if all debt balances.art is repaid by the liquidation engine. if balances.art - art == 0 // If there is no debt left, retur...

Witch can't give back vault after 2x grab

Handle gpersoon Vulnerability details Impact The witch.sol contract gets access to a vault via the grab function, in case of liquidation. If the witch.sol contract can't sell the debt within a certain amount of time, a second grab can occur. After the second grab, the information of the original...