The abbreviateAmount function attempts to abbreviate large numeric amounts by dividing them and appending appropriate suffixes. However, due to repeated division and limited handling of fractional parts, the function can lose significant precision. Additionally, it does not handle very small but non-zero amounts effectively, leading to potential misrepresentation.
Loss of Precision:
Imagine a financial application displaying token balances using this function. For a balance of 1,234,567,890,123,456 (1.234 quadrillion), truncating it multiple times could result in a representation that does not accurately reflect the actual value, potentially leading to incorrect financial decisions.
Small Amounts Close to Zero:
Consider a scenario where a token balance is 0.0001 with 6 decimals (0.0000001 actual value). The function may truncate this to zero, displaying "< 1", which might mislead users into thinking they have no tokens, affecting their transaction decisions.
Manual review
Here is an example update to the abbreviateAmount function:
Explanation of the updated function
The stringifyFractionalAmount function now allows for up to 2 decimal places, ensuring that fractional amounts are represented accurately.
The check for truncatedAmount < 1 ensures that very small amounts are handled appropriately by returning a value with the "less than" sign.
The function now dynamically handles very large amounts by using scientific notation for amounts beyond trillions, ensuring that it can represent extremely large values accurately.
https://docs.codehawks.com/hawks-auditors/how-to-determine-a-finding-validity
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