Project

Summary

The current MembershipFactory contract implementation lacks any provision for members to exit or revoke their membership, resulting in several limitations and potential risks for DAO participants.

Vulnerability Details

Issue Analysis: Lack of an Exit Option

The MembershipFactory contract provides various functionalities, including:

• Creation of DAOs with custom tier configurations.

• Joining DAOs by purchasing memberships at different tiers.

• Tier upgrades within specific DAOs.

Despite these functionalities, there is no method for a member to voluntarily exit a DAO or relinquish their membership tokens. This omission results in a lack of autonomy for members who may want to dissociate from the DAO due to dissatisfaction, changes in governance, or evolving personal interests.

Impact

• Members who wish to leave a DAO are unable to do so directly. This limitation restricts personal freedom and makes membership less attractive

• If a DAO’s governance or financial direction becomes risky or volatile, members have no way to withdraw from the DAO's economic system.

Tools Used

Manual analysis

Recommendations

• Implement a function that allows members to "burn" their membership tokens, effectively revoking their association with the DAO.

• Allowing members to downgrade their membership to a base, non-interactive level, or exit entirely could offer a compromise for DAOs wishing to retain some level of association with former members while still allowing for a degree of dissociation.