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Audit name:

[SCA] 0x0 | Wallet | Mar2024

Date:

Apr 10, 2024

Table of Content

Introduction
Audit Summary
Document Information
System Overview
Executive Summary
Risks
Findings
Appendix 1. Severity Definitions
Appendix 2. Scope
Disclaimer

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Introduction

We express our gratitude to the 0x0 team for the collaborative engagement that enabled the execution of this Smart Contract Security Assessment.

Arcane is a contract within the 0x0 project that facilitates unlinkable transfers, withdrawals, and function calls for the Arcane Wallet.

titlecontent
PlatformEVM
LanguageSolidity
TagsEscrow
Timeline19/03/2024 - 09/04/2024
Methodologyhttps://hackenio.cc/sc_methodology

    Review Scope

    Repositoryhttps://github.com/0x0exchange/arcane
    Commit9b76b17b14419f5d2d50238beb7f26c60f573e5a

    Audit Summary

    Total8.6/10
    Security Score

    10/10

    Test Coverage

    63.71%

    Code Quality Score

    10/10

    Documentation Quality Score

    10/10

    2Total Findings
    2Resolved
    0Accepted
    0Mitigated

    The system users should acknowledge all the risks summed up in the risks section of the report

    Document Information

    This report may contain confidential information about IT systems and the intellectual property of the Customer, as well as information about potential vulnerabilities and methods of their exploitation.

    The report can be disclosed publicly after prior consent by another Party. Any subsequent publication of this report shall be without mandatory consent.

    Document

    NameSmart Contract Code Review and Security Analysis Report for 0x0
    Audited ByMaksym Fedorenko, Roman Tiutiun
    Approved ByPrzemyslaw Swiatowiec, Grzegorz Trawiński
    Websitehttps://0x0.ai/
    Changelog22/03/2024 - Preliminary Report; 09/04/2024 - Final Review
    • Document

      Name
      Smart Contract Code Review and Security Analysis Report for 0x0
      Audited By
      Maksym Fedorenko, Roman Tiutiun
      Approved By
      Przemyslaw Swiatowiec, Grzegorz Trawiński
      Changelog
      22/03/2024 - Preliminary Report; 09/04/2024 - Final Review

    System Overview

    Arcane is a contract within the 0x0 project that facilitates unlinkable transfers, withdrawals, and function calls for the Arcane Wallet. Built on the stealth address protocol, this contract plays a crucial role in ensuring privacy for users. The project includes the following smart contract:

    Arcane.sol  — the Arcane wallet is to ensure the privacy of EVM-based blockchain transactions. It achieves this by making transactions appear anonymous, concealing the identity of the sender (e.g., 'Alice') and a recipient (e.g., 'Bob' or a contract like 'UNISWAP').

    Privileged roles

    • The owner of the Arcane contract can arbitrarily set the treasury address, set the 0x0 token address, and set the minimum relayer 0x0 token balance.

    Executive Summary

    Documentation quality

    The total Documentation Quality score is 10 out of 10.

    • Functional requirements are provided.

    • Technical description is provided.

    Code quality

    The total Code Quality score is 10 out of 10.

    Test coverage

    Code coverage of the project is 63.71% (branch coverage)

    • The code is has uncovered branches.

    Security score

    Upon auditing, the code was found to contain 0 critical, 1 high, 0 medium, and 0 low severity issues, leading to a security score of 5 out of 10. Upon the retest, all issues were fixed resulting in the final score of 10 out of 10.

    All identified issues are detailed in the “Findings” section of this report.

    Summary

    The comprehensive audit of the customer's smart contract yields an overall score of 8.6. This score reflects the combined evaluation of documentation, code quality, test coverage, and security aspects of the project.

    Risks

    The logic of the Arcane contract might be upgraded any time by the Admin.

    The Admin might update the address of the 0x0 tokens within the Arcane contract which will disallow all the relayers to execute the transactions.

    Findings

    Code
    Title
    Status
    Severity
    F-2024-1632Malicious Actor Might Drain All The Tokens From The Contract
    fixed

    High
    F-2024-1610Initializer Is Not Disabled In Constructor
    fixed

    Observation
    1-2 of 2 findings

    Identify vulnerabilities in your smart contracts.

    Appendix 1. Severity Definitions

    When auditing smart contracts, Hacken is using a risk-based approach that considers Likelihood, Impact, Exploitability and Complexity metrics to evaluate findings and score severities.

    Reference on how risk scoring is done is available through the repository in our Github organization:

    Severity

    Description

    Critical
    Critical vulnerabilities are usually straightforward to exploit and can lead to the loss of user funds or contract state manipulation.

    High
    High vulnerabilities are usually harder to exploit, requiring specific conditions, or have a more limited scope, but can still lead to the loss of user funds or contract state manipulation.

    Medium
    Medium vulnerabilities are usually limited to state manipulations and, in most cases, cannot lead to asset loss. Contradictions and requirements violations. Major deviations from best practices are also in this category.

    Low
    Major deviations from best practices or major Gas inefficiency. These issues will not have a significant impact on code execution, do not affect security score but can affect code quality score.
    • Severity

      Critical

      Description

      Critical vulnerabilities are usually straightforward to exploit and can lead to the loss of user funds or contract state manipulation.

      Severity

      High

      Description

      High vulnerabilities are usually harder to exploit, requiring specific conditions, or have a more limited scope, but can still lead to the loss of user funds or contract state manipulation.

      Severity

      Medium

      Description

      Medium vulnerabilities are usually limited to state manipulations and, in most cases, cannot lead to asset loss. Contradictions and requirements violations. Major deviations from best practices are also in this category.

      Severity

      Low

      Description

      Major deviations from best practices or major Gas inefficiency. These issues will not have a significant impact on code execution, do not affect security score but can affect code quality score.

    Appendix 2. Scope

    The scope of the project includes the following smart contracts from the provided repository:

    Scope Details

    Repositoryhttps://github.com/0x0exchange/arcane
    Commit9b76b17b14419f5d2d50238beb7f26c60f573e5a
    WhitepaperReadme file
    RequirementsReadme file
    Technical RequirementsReadme file

    Contracts in Scope

    contracts
    Arcane.sol - contracts › Arcane.sol

    Disclaimer