20,000 USDC
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Submission Details
Severity: high

Only owner of loan should be able to call siezeLoan. Otherwise, siezeLoan can be maliciously called by external user

Summary

seizeLoan() can be called by any user, even if they are not the lender, after an auction has ended. This can result in an unfavourable loan closing/loss-of-funds for the lender.

Vulnerability details

Just because an auction ended in insolvency, that does not mean that the loan won't be solvent in a future point in time. The loan is not seized automatically and must be called manually, meaning there would be a time gap between when the auction ends and when the loan is seized.

During this time period, the loan can become solvent again due to changes in price between the loan and collateral tokens. In this case calling seizeLoan() can result in a loss of funds for the loaner.

Impact

Potential unfavourable seize of loans for lender.

Tools Used

Manual Review

Recommendations

Add access controls to seizeLoans()

Support

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