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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 suitable for inclusion in a professional security audit report. Each entry follows standard audit documentation practices, including the vulnerability description, root cause, impact, and remediation strategy.


1. Reentrancy Attack via Unvalidated External Calls

Vulnerability ID: AUDIT-001

Severity: High

CWE: CWE-841 (Improper Enforcement of Behavioral Workflow)

Description

The withdraw() function in the LiquidityPool contract allows users to withdraw their shares and receive underlying assets. However, the contract performs an external call to the token contract (token.transfer()) before updating the user’s internal balance (balances[msg.sender]). This violates the Checks-Effects-Interactions (CEI) pattern.

An attacker can deploy a malicious contract that, upon receiving tokens via token.transfer(), re-enters the withdraw() function

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