Part 2

Summary

The contract's fee distribution calculations involve multiple decimal conversions and mathematical operations, which can lead to precision loss, particularly in reward distribution.

Vulnerability Details

• The calculations for distributing WETH rewards involve converting and multiplying decimal values.

• Precision loss can occur due to rounding errors in fixed-point arithmetic operations.

• The contract attempts to handle leftover dust by adding it to vault rewards, but accumulated rounding errors over time could lead to discrepancies.

Impact

Minor discrepancies in fee distribution could accumulate over time, potentially leading to small amounts of unallocated or misallocated funds.

Tools Used

Manual code review and analysis of arithmetic operations.

Recommendations

• Use a more precise arithmetic library to minimize rounding errors.

• Implement a mechanism to periodically reconcile and correct any discrepancies in fee distribution.

• Consider logging or monitoring the accumulation of dust amounts to ensure they remain within acceptable limits.