Tokens that do not comply with the ERC20 standard may lead to certain issues.
Summary
Special erc20 tokens might not used as loan tokens or collateral tokens.
Vulnerability Details
Some tokens (like USDT) don't correctly implement the EIP20 standard and their transfer/ transferFrom function return void instead of a success boolean. Calling these functions with the correct EIP20 function signatures will always revert.
Impact
Tokens that don't correctly implement the latest EIP20 spec, like USDT, will be unusable in the protocol as they revert the transaction because of the missing return value.
Tools Used
Manual review
Recommendations
Recommend using OpenZeppelin's SafeERC20 versions with the safeTransfer and safeTransferFrom functions that handle the return value check as well as non-standard-compliant tokens.
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