sherlock-audit / 2024-01-rio-vesting-escrow-judging

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Irissme - The VestingEscrow contract lacks proper validation. #25

Closed sherlock-admin2 closed 9 months ago

sherlock-admin2 commented 9 months ago

Irissme

medium

The VestingEscrow contract lacks proper validation.

Summary

The VestingEscrow contract has a vulnerability related to the lack of proper validation for the voting adaptor.

Vulnerability Detail

The VestingEscrow contract has a vulnerability related to the lack of proper validation for the voting adaptor.This condition checks if the voting adaptor's address is zero, indicating that it has not been set. However, it does not validate whether the provided address is a valid contract address or if it points to a correctly instantiated instance of the expected VotingAdaptor interface.

This oversight introduces a potential vulnerability, as the contract does not verify the integrity of the voting adaptor. If the address is set incorrectly or points to a malicious or improperly initialized contract, it may lead to unexpected behavior or exploitation of vulnerabilities in the contract's logic.

This vulnerability is critical in functions that rely on the voting adaptor, as the absence of a valid adaptor may result in unintended consequences or compromise the security of the entire system.

Impact

The lack of proper validation for the voting adaptor in the VestingEscrow contract may expose the system to potential attacks, particularly in scenarios where the contract relies on the voting adaptor for critical functions. Here's a detailed impact analysis:

Scenario: Unauthorized Voting Adaptor

Suppose an attacker gains control over the voting adaptor address or sets it to an arbitrary and malicious contract. Without proper validation, the contract will not detect this unauthorized or malicious voting adaptor.

Potential Attack:

Attack on Voting Functions:

The attacker deploys a malicious contract and sets it as the voting adaptor. Exploiting the lack of validation, the attacker tricks the VestingEscrow contract into interacting with the malicious voting adaptor.

Unauthorized Delegation:

The malicious voting adaptor may perform unauthorized actions on behalf of the VestingEscrow contract, such as delegating voting power or voting on governance proposals.

Invalid Voting Outcomes:

If the attacker's voting adaptor performs unauthorized actions, it could lead to invalid or malicious voting outcomes that are detrimental to the interests of the users or the protocol.

Potential Impact:

Loss of Token Holder Funds:

Unauthorized actions by the malicious voting adaptor could result in the loss or misdirection of token holder funds, as the voting adaptor may have control over the delegation of tokens.

Manipulation of Governance Decisions:

Invalid voting outcomes may manipulate governance decisions, potentially harming the protocol's governance process and introducing vulnerabilities or undesirable changes.

Reputation Damage:

The protocol's reputation may suffer if it becomes associated with malicious activities due to the compromised voting adaptor.

Code Snippet

https://github.com/sherlock-audit/2024-01-rio-vesting-escrow/blob/main/rio-vesting-escrow/src/VestingEscrow.sol#L260-L265

Tool used

Manual Review

Recommendation

It is recommended to enhance the validation of the voting adaptor by ensuring that the address is valid (non-zero) before proceeding with any operations dependent on the voting adaptor. This can be achieved by adding an additional check.

Duplicate of #109