[Lines of code](https://github.com/code-423n4/2022-08-frax/blob/c4189a3a98b38c8c962c5ea72f1a322fbc2ae45f/src/contracts/FraxlendPairCore.sol#L660>, , , , , ) [FraxlendPairCore.sol#L676]() [FraxlendPairCore.sol#L786]() [FraxlendPairCore.sol#L828]() [FraxlendPairCore.sol#L882]() [FraxlendPairCore.sol#L1152]() The whenNotPaused modifier doesn't allow the function to be called if the pair is currently paused. This is useful in many situations but particularly useful when a malicious token is found in the pair as an asset or collateral token. Whenever the pair is paused, all functions that create outgoing transfers should be paused. Currently redeem, withdraw, and removeCollateral do not have the modifier and can be used while the pair is paused. Additionally, all functions that call external contracts should be paused to prevent interactions with malicious elements. Currently addCollateral, repayAsset and repayAssetWithCollateral do not have the modifier. **Impact**: Since this protocol is susceptible to having a malicious tokens introduced since anyone can deploy any pair with any tokens, the impact from this could be quite severe. If, for example, an exploit is later discovered around redeem or withdraw then, even if the pair is paused in time, these functions will not be paused. Furthermore, pausing these two functions will prevent a "run on the bank" that could intensify an already volatile situation. In fact, if a malicious token was introduced, the other methods that do not remove assets from the protocol could also wreak havoc. **Recommendation**: Add the whenNotPaused modifier appropriately throughout: diff --git a/src/contracts/FraxlendPairCore.sol b/src/contracts/FraxlendPairCore.sol index a712d46..2a033b3 100644 --- a/src/contracts/FraxlendPairCore.sol +++ b/src/contracts/FraxlendPairCore.sol @@ -661,7 +661,7 @@ abstract contract FraxlendPairCore is FraxlendPairConstants, IERC4626, ERC20, Ow uint256 _shares, address _receiver, address _owner - ) external nonReentrant returns (uint256 _amountToReturn) { + ) external nonReentrant whenNotPaused returns (uint256 _amountToReturn) { _addInterest(); VaultAccount memory _totalAsset = totalAsset; _amountToReturn = _totalAsset.toAmount(_shares, false); @@ -677,7 +677,7 @@ abstract contract FraxlendPairCore is FraxlendPairConstants, IERC4626, ERC20, Ow uint256 _amount, address _receiver, address _owner - ) external nonReentrant returns (uint256 _shares) { + ) external nonReentrant whenNotPaused returns (uint256 _shares) { _addInterest(); VaultAccount memory _totalAsset = totalAsset; _shares = _totalAsset.toShares(_amount, true); @@ -783,7 +783,7 @@ abstract contract FraxlendPairCore is FraxlendPairConstants, IERC4626, ERC20, Ow /// @dev msg.sender must call ERC20.approve() on the Collateral Token contract prior to invocation /// @param _collateralAmount The amount of Collateral Token to be added to borrower's position /// @param _borrower The account to be credited - function addCollateral(uint256 _collateralAmount, address _borrower) external nonReentrant isNotPastMaturity { + function addCollateral(uint256 _collateralAmount, address _borrower) external nonReentrant whenNotPaused isNotPastMaturity { _addInterest(); _addCollateral(msg.sender, _collateralAmount, _borrower); } @@ -828,6 +828,7 @@ abstract contract FraxlendPairCore is FraxlendPairConstants, IERC4626, ERC20, Ow function removeCollateral(uint256 _collateralAmount, address _receiver) external nonReentrant + whenNotPaused isSolvent(msg.sender) { _addInterest(); @@ -879,7 +880,7 @@ abstract contract FraxlendPairCore is FraxlendPairConstants, IERC4626, ERC20, Ow /// @param _shares The number of Borrow Shares which will be repaid by the call /// @param _borrower The account for which the debt will be reduced /// @return _amountToRepay The amount of Asset Tokens which were transferred in order to repay the Borrow Shares - function repayAsset(uint256 _shares, address _borrower) external nonReentrant returns (uint256 _amountToRepay) { + function repayAsset(uint256 _shares, address _borrower) external nonReentrant whenNotPaused returns (uint256 _amountToRepay) { _addInterest(); VaultAccount memory _totalBorrow = totalBorrow; _amountToRepay = _totalBorrow.toAmount(_shares, true); @@ -1159,7 +1160,7 @@ abstract contract FraxlendPairCore is FraxlendPairConstants, IERC4626, ERC20, Ow uint256 _collateralToSwap, uint256 _amountAssetOutMin, address[] calldata _path - ) external nonReentrant isSolvent(msg.sender) returns (uint256 _amountAssetOut) { + ) external nonReentrant whenNotPaused isSolvent(msg.sender) returns (uint256 _amountAssetOut) { _addInterest(); _updateExchangeRate(); --- The text was updated successfully, but these errors were encountered: 👍 1 0xSorryNotSorry reacted with thumbs up emoji 👎 1 0xA5DF reacted with thumbs down emoji All reactions * 👍 1 reaction * 👎 1 reaction