MyCut

AI First Flight #8
Beginner FriendlyFoundry
EXP
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Submission Details
Severity: high
Valid

Manager cut is sent to `msg.sender` (the ContestManager contract), which has no withdrawal path — fees stuck forever

Description


In closePot, the manager's cut is sent to msg.sender:


function closePot() external onlyOwner {
...
uint256 managerCut = remainingRewards / managerCutPercent;
i_token.transfer(msg.sender, managerCut); // @> sends to msg.sender = the Pot's owner
...
}
```
​
The `Pot` is deployed by `ContestManager::createContest` via `new Pot(...)`, and `Pot` is `Ownable(msg.sender)` — so the Pot's **owner is the `ContestManager` contract**, not the human admin. `closePot` is `onlyOwner` and is only ever reached through `ContestManager::closeContest -> _closeContest -> pot.closePot()`. Therefore inside `closePot`, `msg.sender == address(ContestManager)`, and the manager cut is transferred **to the ContestManager contract**.
​
`ContestManager` has **no function that transfers out ERC20 tokens** (no withdraw, no sweep, no rescue). The manager's cut is therefore permanently locked in `ContestManager` with no way to retrieve it.
​
## Risk
​
**Likelihood: High**
​
- This happens on every single `closePot` that has a non-zero `remainingRewards` — i.e. the normal end-of-contest flow. No special conditions.
​
**Impact: High**
​
- The entire manager cut (10% of the remaining pool) for every closed pot accumulates in `ContestManager` and is unrecoverable. Permanent, repeatable loss of protocol fees.
​
## Proof of Concept
​
```solidity
// ContestManager owner (admin) creates & funds a pot, then after 90 days:
contestManager.closeContest(pot);
// -> pot.closePot() runs; inside it, msg.sender == address(contestManager)
// -> i_token.transfer(address(contestManager), managerCut)
// The managerCut now sits in ContestManager, which exposes no token-withdrawal function => stuck forever.
```
​
## Recommended Mitigation
​
Pay the manager cut to an explicit, configurable fee recipient (an EOA/treasury) rather than `msg.sender`, and/or add an owner-only token-withdrawal function to `ContestManager`:
​
```solidity
address public feeRecipient; // set by admin
i_token.safeTransfer(feeRecipient, managerCut);
// or in ContestManager:
function rescueTokens(IERC20 t, uint256 amt) external onlyOwner { t.safeTransfer(owner(), amt); }
```
}
Updates

Lead Judging Commences

ai-first-flight-judge Lead Judge 7 days ago
Submission Judgement Published
Validated
Assigned finding tags:

[H-01] Owner Cut Stuck in `ContestManager`

## Description When `closeContest` function in the `ContestManager` contract is called, `pot` sends the owner's cut to the `ContestManager` itself, with no mechanism to withdraw these funds. ## Vulnerability Details: Relevant code - [Pot](https://github.com/Cyfrin/2024-08-MyCut/blob/main/src/Pot.sol#L7) [ContestManager](https://github.com/Cyfrin/2024-08-MyCut/blob/main/src/ContestManager.sol#L16-L26) The vulnerability stems from current ownership implementation between the `Pot` and `ContestManager` contracts, leading to funds being irretrievably locked in the `ContestManager` contract. 1. **Ownership Assignment**: When a `Pot` contract is created, it assigns `msg.sender` as its owner: ```solidity contract Pot is Ownable(msg.sender) { ... } ``` 2. **Contract Creation Context**: The `ContestManager` contract creates new `Pot` instances through its `createContest` function: ```solidity function createContest(...) public onlyOwner returns (address) { Pot pot = new Pot(players, rewards, token, totalRewards); ... } ``` In this context, `msg.sender` for the new `Pot` is the `ContestManager` contract itself, not the external owner who called `createContest`. 3. **Unintended Ownership**: As a result, the `ContestManager` becomes the owner of each `Pot` contract it creates, rather than the intended external owner. 4. **Fund Lock-up**: When `closeContest` is called (after the 90-day contest period), it triggers the `closePot` function: ```solidity function closeContest(address contest) public onlyOwner { Pot(contest).closePot(); } ``` The `closePot` function sends the owner's cut to its caller. Since the caller is `ContestManager`, these funds are sent to and locked within the `ContestManager` contract. 5. **Lack of Withdrawal Mechanism**: The `ContestManager` contract does not include any functionality to withdraw or redistribute these locked funds, rendering them permanently inaccessible. This ownership misalignment and the absence of a fund recovery mechanism result in a critical vulnerability where contest rewards become permanently trapped in the `ContestManager` contract. ## POC In existing test suite, add following test ```solidity function testOwnerCutStuckInContestManager() public mintAndApproveTokens { vm.startPrank(user); contest = ContestManager(conMan).createContest( players, rewards, IERC20(ERC20Mock(weth)), 100 ); ContestManager(conMan).fundContest(0); vm.stopPrank(); // Fast forward 91 days vm.warp(block.timestamp + 91 days); uint256 conManBalanceBefore = ERC20Mock(weth).balanceOf(conMan); console.log("contest manager balance before:", conManBalanceBefore); vm.prank(user); ContestManager(conMan).closeContest(contest); uint256 conManBalanceAfter = ERC20Mock(weth).balanceOf(conMan); // Assert that the ContestManager balance has increased (owner cut is stuck) assertGt(conManBalanceAfter, conManBalanceBefore); console.log("contest manager balance after:", conManBalanceAfter); } ``` run `forge test --mt testOwnerCutStuckInContestManager -vv` in the terminal and it will return following output: ```js [⠊] Compiling... [⠑] Compiling 1 files with Solc 0.8.20 [⠘] Solc 0.8.20 finished in 1.66s Compiler run successful! Ran 1 test for test/TestMyCut.t.sol:TestMyCut [PASS] testOwnerCutStuckInContestManager() (gas: 810988) Logs: User Address: 0x6CA6d1e2D5347Bfab1d91e883F1915560e09129D Contest Manager Address 1: 0x7BD1119CEC127eeCDBa5DCA7d1Bd59986f6d7353 Minting tokens to: 0x6CA6d1e2D5347Bfab1d91e883F1915560e09129D Approved tokens to: 0x7BD1119CEC127eeCDBa5DCA7d1Bd59986f6d7353 contest manager balance before: 0 contest manager balance after: 10 Suite result: ok. 1 passed; 0 failed; 0 skipped; finished in 10.51ms (1.31ms CPU time) ``` ## Impact Loss of funds for the protocol / owner ## Recommendations Add a claimERC20 function `ContestManager` to solve this issue. ```solidity function claimStuckedERC20(address tkn, address to, uint256 amount) external onlyOwner { // bytes4(keccak256(bytes('transfer(address,uint256)'))); (bool success, bytes memory data) = tkn.call(abi.encodeWithSelector(0xa9059cbb, to, amount)); require( success && (data.length == 0 || abi.decode(data, (bool))), 'ContestManager::safeTransfer: transfer failed' ); ```

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