Sparkn

Summary

Some tokens may be pausable making protocol unusable

Vulnerability Details

If token initialized are Pausable tokens such as example WBTC and if paused the Protocol will not function normally. There is no indication token cant be Pausable tokens as any ERC20 can be initialized for pools.

Impact

If the token is paused then transfers of tokens into and out of the protocol are not possible, which impacts ability such as related to functionality by depending on transfer, transferFrom etc functions.

Tools Used

Manual code review

Recommendations

It may be ideal to whitelist allowed tokens and not allow callback, hook, tokens such as ERC777, ERC1363, It may be ideal to have safeguard measures on protocol e.g.; emergency patterns to activate them and protect protocol in the event of issues beyond control such as a token used in protocol being paused.