MyCut

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

Manager cut is sent to ContestManager itself, not the admin, and ContestManager has no withdrawal function - the cut is permanently stuck

Description

ContestManager.closeContest calls pot.closePot() directly:

function _closeContest(address contest) internal {
Pot pot = Pot(contest);
pot.closePot();
}

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

i_token.transfer(msg.sender, managerCut);

Because ContestManager calls closePot() directly (not via a low-level call that preserves the original caller, and with no parameter to redirect the payout), msg.sender as seen by Pot is always address(ContestManager) — never the admin EOA who actually operates the contest. ContestManager exposes createContest, fundContest, getContests, getContestTotalRewards, getContestRemainingRewards, and closeContest — no function anywhere lets the owner withdraw ERC20 tokens back out of the contract. Every manager cut, from every pot ever closed through ContestManager, is transferred into a contract with no exit for that value.

Risk

Likelihood: High

  • Happens on every single closeContest call — not an edge case.

Impact: High

  • The manager's entire intended commission (10% of every pot's remaining rewards) is permanently locked in ContestManager with no withdrawal mechanism, for the lifetime of the contract.

Proof of Concept

Closing one pot for 900 tokens leaves the 90-token manager cut sitting in ContestManager, not with the admin who ran it:

function test_H3_managerCutPermanentlyStuckInContestManager() public {
uint256 userBalBefore = weth.balanceOf(user);
// create + fund a 900-token pot, warp past 90 days, closeContest
assertEq(weth.balanceOf(conMan), 90); // manager cut landed on the contract...
assertEq(weth.balanceOf(user), userBalBefore - totalRewards); // ...admin only ever paid IN, never received a cut
}

Recommended Mitigation

Either have Pot.closePot accept and use an explicit recipient (validated against the true admin), or add an onlyOwner withdrawal function on ContestManager so accumulated manager cuts can actually be retrieved:

+ function withdrawToken(IERC20 token, uint256 amount) external onlyOwner {
+ token.transfer(msg.sender, amount);
+ }
Updates

Lead Judging Commences

ai-first-flight-judge Lead Judge about 1 hour 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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