TempleGold

Summary

At the start of an DaiGoldAuction a fresh amount of TGLD tokens is distributed to the auction. In case of a finished auction with 0 bids, those tokens remain frozen inside and cannot be recovered.

Vulnerability Details

Scenario

1) DaiGoldAuction is started:

2) No one has bidded during the time the auction was active: 0 bids

3) The auction ends

4) The TGLD tokens remain frozen and cannot be recovered. The stuck TGLD tokens cannot be used as a reward for the next auction also

Trying to recover the tokens via DaiGoldAuction.recoverToken() will also not work, it will revert, because the auction has ended.

Code snippet: https://github.com/Cyfrin/2024-07-templegold/blob/main/protocol/contracts/templegold/DaiGoldAuction.sol#L260-L279

Impact

Finished DaiGoldAuctions with 0 bids cannot recover the TGLD tokens. Those tokens remain stuck and cannot be used for the next auctions, neither to be transfered somewhere else.

Tools Used

Manual review

Recommendations

Implement similar mechanism for recovering tokens from 0 bid auctions like in SpiceAuction.recoverAuctionTokenForZeroBidAuction()