The use of the deprecated transfer() function for an address will inevitably make the transaction fail when:
The claimer smart contract does not implement a payable function.
The claimer smart contract does implement a payable fallback which uses more than 2300 gas unit.
The claimer smart contract implements a payable fallback function that needs less than 2300 gas units but is called through proxy, raising the call's gas usage above 2300.
Lines of code
https://github.com/code-423n4/2022-07-axelar/blob/9c4c44b94cddbd48b9baae30051a4e13cbe39539/contracts/deposit-service/ReceiverImplementation.sol#L86 https://github.com/code-423n4/2022-07-axelar/blob/9c4c44b94cddbd48b9baae30051a4e13cbe39539/xc20/contracts/XC20Wrapper.sol#L63
Vulnerability details
Impact
Proof of Concept
Tools Used
Recommended Mitigation Steps
call()