Title: NFT transfer bypasses balanceOf guard enabling unlimited present collection
Severity: High
Impact: NICE users mint unlimited NFTs; EXTRA_NICE users mint unlimited NFTs AND SantaTokens.
Likelihood: High — collect, transfer NFT away, collect again. Gas cost only.
Reference Files: src/SantasList.sol:151-153
The double-collection guard checks balanceOf(msg.sender) > 0, but the NFT is an ERC721 with unrestricted safeTransferFrom. A user collects their present, transfers the NFT to another wallet, then collects again — balanceOf returns 0 after the transfer. The vulnerable guard:
safeTransferFrom has no restrictions, so the balanceOf check only prevents collecting twice in the same wallet — not collecting unlimited times across wallet rotations.
Impact: High. EXTRA_NICE users generate unlimited SantaTokens by cycling NFTs through wallets. Token supply is unbounded.
Likelihood: High. Any NICE/EXTRA_NICE user calls collect → transfer to alt wallet → collect again. Only gas cost.
A single EXTRA_NICE approval enables minting 100 SantaTokens by cycling one NFT through 100 wallets.
A single approval yields 2x tokens via NFT transfer cycling — repeatable unlimited times.
A dedicated s_hasCollected mapping permanently records claims independent of NFT ownership — transfers can no longer reset the guard.
## Description `collectPresent` function is callable by any address, but the call will succeed only if the user is registered as `NICE` or `EXTRA_NICE` in SantasList contract. In order to prevent users to collect presents multiple times, the following check is implemented: ``` if (balanceOf(msg.sender) > 0) { revert SantasList__AlreadyCollected(); } ``` Nevertheless, there is an issue with this check. Users could send their newly minted NFTs to another wallet, allowing them to pass that check as `balanceOf(msg.sender)` will be `0` after transferring the NFT. ## Vulnerability Details Let's imagine a scenario where an `EXTRA_NICE` user wants to collect present when it is Christmas time. The user will call `collectPresent` function and will get 1 NFT and `1e18` SantaTokens. This user could now call `safetransferfrom` ERC-721 function in order to send the NFT to another wallet, while keeping SantaTokens on the same wallet (or send them as well, it doesn't matter). After that, it is possible to call `collectPresent` function again as ``balanceOf(msg.sender)` will be `0` again. ## Impact The impact of this vulnerability is HIGH as it allows any `NICE` user to mint as much NFTs as wanted, and it also allows any `EXTRA_NICE` user to mint as much NFTs and SantaTokens as desired. ## Proof of Concept The following tests shows that any `NICE` or `EXTRA_NICE` user is able to call `collectPresent` function again after transferring the newly minted NFT to another wallet. - In the case of `NICE` users, it will be possible to mint an infinity of NFTs, while transferring all of them in another wallet hold by the user. - In the case of `EXTRA_NICE` users, it will be possible to mint an infinity of NFTs and an infinity of SantaTokens. ``` function testExtraNiceCanCollectTwice() external { vm.startPrank(santa); // Santa checks twice the user as EXTRA_NICE santasList.checkList(user, SantasList.Status.EXTRA_NICE); santasList.checkTwice(user, SantasList.Status.EXTRA_NICE); vm.stopPrank(); // It is Christmas time! vm.warp(1_703_480_381); vm.startPrank(user); // User collects 1 NFT + 1e18 SantaToken santasList.collectPresent(); // User sends the minted NFT to another wallet santasList.safeTransferFrom(user, makeAddr("secondWallet"), 0); // User collect present again santasList.collectPresent(); vm.stopPrank(); // Users now owns 2e18 tokens, after calling 2 times collectPresent function successfully assertEq(santaToken.balanceOf(user), 2e18); } ``` ## Recommendations SantasList should implement in its storage a mapping to keep track of addresses which already collected present through `collectPresent` function. We could declare as a state variable : ``` mapping(address user => bool) private hasClaimed; ``` and then modify `collectPresent` function as follows: ``` function collectPresent() external { // use SantasList__AlreadyCollected custom error to save gas require(!hasClaimed[msg.sender], "user already collected present"); if (block.timestamp < CHRISTMAS_2023_BLOCK_TIME) { revert SantasList__NotChristmasYet(); } if (s_theListCheckedOnce[msg.sender] == Status.NICE && s_theListCheckedTwice[msg.sender] == Status.NICE) { _mintAndIncrement(); hasClaimed[msg.sender] = true; return; } else if ( s_theListCheckedOnce[msg.sender] == Status.EXTRA_NICE && s_theListCheckedTwice[msg.sender] == Status.EXTRA_NICE ) { _mintAndIncrement(); i_santaToken.mint(msg.sender); hasClaimed[msg.sender] = true; return; } revert SantasList__NotNice(); } ``` We just added a check that `hasClaimed[msg.sender]` is `false` to execute the rest of the function, while removing the check on `balanceOf`. Once present is collected, either for `NICE` or `EXTRA_NICE` people, we update `hasClaimed[msg.sender]` to `true`. This will prevent user to call `collectPresent` function. If you run the previous test with this new implementation, it wail fail with the error `user already collected present`. Here is a new test that checks the new implementation works as desired: ``` function testCorrectCollectPresentImpl() external { vm.startPrank(santa); // Santa checks twice the user as EXTRA_NICE santasList.checkList(user, SantasList.Status.EXTRA_NICE); santasList.checkTwice(user, SantasList.Status.EXTRA_NICE); vm.stopPrank(); // It is Christmas time! vm.warp(1_703_480_381); vm.startPrank(user); // User collects 1 NFT + 1e18 SantaToken santasList.collectPresent(); // User sends the minted NFT to another wallet santasList.safeTransferFrom(user, makeAddr("secondWallet"), 0); vm.expectRevert("user already collected present"); santasList.collectPresent(); vm.stopPrank(); } ```
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