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Nexus Intelligence Research
Nexus Intelligence Research

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DeFi Smart Contract Vulnerabilities Audit Guide

Here are three specific DeFi smart contract vulnerabilities commonly identified in professional security audits, described with technical precision suitable for an audit report.

1. Front-Running via Oracle Manipulation (TWAP Bypass)

Vulnerability Class: Oracle Price Manipulation / MEV

CWE: CWE-891 (Evaluation of Code with Unintended Side-Effects)

Severity: Critical

Description:

The smart contract relies on a single point-in-time (SPT) price feed from an external oracle (e.g., Chainlink) without implementing a Time-Weighted Average Price (TWAP) mechanism or sufficient deviation thresholds. This allows an attacker to manipulate the price in the automated market maker (AMM) pool immediately before the oracle updates its last price.

Technical Scenario:

  1. The contract function redeemTokens(uint256 amount) calls oracle.latestRoundData() to get the current price of Asset A in

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