ERC1155 tokens have a callback on transfer, making reentrancy a possibility.
I haven't been able to find any reentrancy, but having extra external function calls isn't safe.
If it's necessary to use an ERC1155 there is nothing you can do about it, but otherwise consider just using an ERC20.
Handle
tensors
Vulnerability details
Impact
ERC1155 tokens have a callback on transfer, making reentrancy a possibility. I haven't been able to find any reentrancy, but having extra external function calls isn't safe. If it's necessary to use an ERC1155 there is nothing you can do about it, but otherwise consider just using an ERC20.
Proof of Concept
https://github.com/code-423n4/2021-08-notional/blob/main/contracts/external/actions/ERC1155Action.sol
Recommended Mitigation Steps
Confirm that using tokens with callbacks is really necessary for the protocol to function.