Very critical Owner privileges can cause complete destruction of the project in a possible privateKey exploit

[code423n4]

Lines of code

https://github.com/code-423n4/2022-10-traderjoe/blob/main/src/libraries/PendingOwnable.sol#L42

Vulnerability details

Vulnerability details

Typically, the contract’s owner is the account that deploys the contract. As a result, the owner is able to perform certain privileged activities.

However, Owner privileges are numerous and there is no timelock structure in the process of using these privileges.
The Owner is assumed to be an EOA, since the documents do not provide information on whether the Owner will be a multisign structure.

In parallel with the private key thefts of the project owners, which have increased recently, this vulnerability has been stated as medium.

Similar vulnerability;
Private keys stolen:

Hackers have stolen cryptocurrency worth around €552 million from a blockchain project linked to the popular online game Axie Infinity, in one of the largest cryptocurrency heists on record. Security issue : PrivateKey of the project officer was stolen:
https://www.euronews.com/next/2022/03/30/blockchain-network-ronin-hit-by-552-million-crypto-heist

Proof of Concept

onlyOwner powers;

14 results - 2 files

src/LBFactory.sol:
  220:     function setLBPairImplementation(address _LBPairImplementation) external override onlyOwner {
  322:     function setLBPairIgnored() external override onlyOwner {
  355:     function setPreset() external override onlyOwner {
  401:     function removePreset(uint16 _binStep) external override onlyOwner {
  439:     function setFeesParametersOnPair) external override onlyOwner {
  473:     function setFeeRecipient(address _feeRecipient) external override onlyOwner {
  479:     function setFlashLoanFee(uint256 _flashLoanFee) external override onlyOwner {
  490:     function setFactoryLockedState(bool _locked) external override onlyOwner {
  498:     function addQuoteAsset(IERC20 _quoteAsset) external override onlyOwner {
  507:     function removeQuoteAsset(IERC20 _quoteAsset) external override onlyOwner {
  525:     function forceDecay(ILBPair _LBPair) external override onlyOwner {

src/libraries/PendingOwnable.sol:
  59:     function setPendingOwner(address pendingOwner_) public override onlyOwner {
  68:     function revokePendingOwner() public override onlyOwner {
  84:     function renounceOwnership() public override onlyOwner {

Recommendation;

1- A timelock contract should be added to use onlyOwner privileges. In this way, users can be warned in case of a possible security weakness.
2- onlyOwner can be a Multisign wallet and this part is specified in the documentation

[0x0Louis]

The owner will be our multisig

[GalloDaSballo]

Per the rulebook will bulk all Admin Privilege findings under this one.

Most notably the main issue was the lack of validation on the flashloan fee, which this issue acts as an umbrella for

[c4-judge]

GalloDaSballo marked the issue as primary issue

[c4-judge]

GalloDaSballo marked the issue as selected for report