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Audit name:

[SCA] Neurashi AI | Token | Dec2024

Date:

Dec 21, 2024

Table of Content

→Introduction
→Audit Summary
→System Overview
→Potential Risks
→Findings
→Appendix 1. Definitions
→Appendix 2. Scope
→Appendix 3. Additional Valuables
→Disclaimer

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Introduction

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

Neurashi is a BEP-20 token.

Document

NameSmart Contract Code Review and Security Analysis Report for Neurashi
Audited ByTurgay Arda Usman
Approved ByPrzemyslaw Swiatowiec
Website-
Changelog20/12/2024 - Preliminary Report
PlatformBNB Smart Chain (BSC)
LanguageSolidity
TagsBEP20
Methodologyhttps://hackenio.cc/sc_methodology→
  • Document

    Name
    Smart Contract Code Review and Security Analysis Report for Neurashi
    Audited By
    Turgay Arda Usman
    Approved By
    Przemyslaw Swiatowiec
    Website
    -
    Changelog
    20/12/2024 - Preliminary Report
    Platform
    BNB Smart Chain (BSC)
    Language
    Solidity
    Tags
    BEP20

Review Scope

Repositoryhttps://github.com/Neurashi/NeurashiToken→
Commitd112a9a

Audit Summary

4Total Findings
0Resolved
0Accepted
0Mitigated

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

Documentation quality

  • Functional requirements are not provided.

  • Technical description is not provided.

Code quality

  • The code duplicates commonly known contracts instead of reusing them.

  • Several template code patterns were found.

  • The development environment is  not configured.

Test coverage

Code coverage of the project is 0.00% (branch coverage).

  • Tests are not provided

System Overview

Neruashi is a BEP-20 tokenl with the following contracts:

NeurashiToken  — simple BEP-20 token that mints all initial supply to a deployer. Additional minting is not allowed.

It has the following attributes:

  • Name: Neurashi

  • Symbol: NEI

  • Decimals: 18

  • Total supply: 45B tokens.

BEP20Basic — Defines the basic interface for a BEP-20 token, including balanceOf and transfer functions with the Transfer event.

BasicToken — Implements basic token functionality like transferring tokens and checking balances, with safety checks for valid recipients and sufficient balances.

StandardToken — Extends BasicToken to include allowance-based spending using approve, transferFrom, and related functionality for managing and checking allowances.

IBEP20 — An abstract interface extending BEP20Basic, defining allowance-related methods like allowance, approve, and transferFrom.

IBEP677 — Adds functionality for transferring tokens with additional data via transferAndCall, allowing contracts to handle token transfers.

BEP677Receiver — An interface for contracts to handle tokens received with transferAndCall, ensuring proper handling of the transferred data.

SmartToken — Combines StandardToken and IBEP677 to enable transferAndCall functionality, including support for interacting with other contracts during token transfers.

Potential Risks

The project concentrates minting tokens in a single address, raising the risk of fund mismanagement or theft, especially if key storage security is compromised.

Restricting approvals to the token contract, by rejecting address(this) in validRecipient, may cause usability issues, limiting functionality for staking, automated transfers, or integrations, potentially hindering broader adoption.

The transferAndCall function's use of contractFallback introduces a reentrancy risk, which could be exploited during certain integrations or user interactions, compromising the security of token transfers.

Findings

F-2024-7853Multiple Contracts in a Single File
Status
unfixed
Severity

Observation
F-2024-7842Incompatibility of _isContract with Proxy Patterns
Status
unfixed
Severity

Observation
F-2024-7840Redundant Function
Status
unfixed
Severity

Observation
F-2024-7839Use of Abstract Contract Instead of Interface
Status
unfixed
Severity

Observation
Code
―
Title
Status
Severity
F-2024-7853Multiple Contracts in a Single File
unfixed

Observation
F-2024-7842Incompatibility of _isContract with Proxy Patterns
unfixed

Observation
F-2024-7840Redundant Function
unfixed

Observation
F-2024-7839Use of Abstract Contract Instead of Interface
unfixed

Observation
1-4 of 4 findings

Identify vulnerabilities in your smart contracts.

Appendix 1. Definitions

Severities

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.
  • 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.

Potential Risks

The "Potential Risks" section identifies issues that are not direct security vulnerabilities but could still affect the project’s performance, reliability, or user trust. These risks arise from design choices, architectural decisions, or operational practices that, while not immediately exploitable, may lead to problems under certain conditions. Additionally, potential risks can impact the quality of the audit itself, as they may involve external factors or components beyond the scope of the audit, leading to incomplete assessments or oversight of key areas. This section aims to provide a broader perspective on factors that could affect the project's long-term security, functionality, and the comprehensiveness of the audit findings.

Appendix 2. Scope

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

Scope Details

Repositoryhttps://github.com/Neurashi/NeurashiToken→
Commitd112a9a
Whitepapern/a
Requirementsn/a
Technical Requirementsn/a

Assets in Scope

BasicToken.sol - BasicToken.sol
NeurashiToken.sol - NeurashiToken.sol
SmartToken.sol - SmartToken.sol
StandardToken.sol - StandardToken.sol

Appendix 3. Additional Valuables

Verification of System Invariants

During the audit of Neurashi AI, Hacken followed its methodology by performing fuzz-testing on the project's main functions. Echidna →, a tool used for fuzz-testing, was employed to check how the protocol behaves under various inputs. Due to the complex and dynamic interactions within the protocol, unexpected edge cases might arise. Therefore, it was important to use fuzz-testing to ensure that several system invariants hold true in all situations.

Fuzz-testing allows the input of many random data points into the system, helping to identify issues that regular testing might miss. A specific Echidna fuzzing suite was prepared for this task, and throughout the assessment, 8 invariants were tested over 8,000,000 runs. This thorough testing ensured that the system works correctly even with unexpected or unusual inputs.

Invariant

Test Result

Run Count

Total supply of tokens should always remain constant and match the initialized value.Passed1M
The sum of all token balances should never exceed the total supply.Passed1M
Token balances should never be negative for any account.Passed1M
The allowance for a spender should correctly increase when increaseAllowance is called.Passed1M
The allowance for a spender should correctly decrease, but not go below zero, when decreaseAllowance is called.Passed1M
The token name should always return "Neurashi".Passed1M
The token symbol should always return "NEI".Passed1M
The token decimals should always return 18.Passed1M
  • Invariant

    Total supply of tokens should always remain constant and match the initialized value.

    Test Result

    Passed

    Run Count

    1M

    Invariant

    The sum of all token balances should never exceed the total supply.

    Test Result

    Passed

    Run Count

    1M

    Invariant

    Token balances should never be negative for any account.

    Test Result

    Passed

    Run Count

    1M

    Invariant

    The allowance for a spender should correctly increase when increaseAllowance is called.

    Test Result

    Passed

    Run Count

    1M

    Invariant

    The allowance for a spender should correctly decrease, but not go below zero, when decreaseAllowance is called.

    Test Result

    Passed

    Run Count

    1M

    Invariant

    The token name should always return "Neurashi".

    Test Result

    Passed

    Run Count

    1M

    Invariant

    The token symbol should always return "NEI".

    Test Result

    Passed

    Run Count

    1M

    Invariant

    The token decimals should always return 18.

    Test Result

    Passed

    Run Count

    1M

Additional Recommendations

The smart contracts in the scope of this audit could benefit from the introduction of automatic emergency actions for critical activities, such as unauthorized operations like ownership changes or proxy upgrades, as well as unexpected fund manipulations, including large withdrawals or minting events. Adding such mechanisms would enable the protocol to react automatically to unusual activity, ensuring that the contract remains secure and functions as intended.

To improve functionality, these emergency actions could be designed to trigger under specific conditions, such as:

  • Detecting changes to ownership or critical permissions.

  • Monitoring large or unexpected transactions and minting events.

  • Pausing operations when irregularities are identified.

These enhancements would provide an added layer of security, making the contract more robust and better equipped to handle unexpected situations while maintaining smooth operations.

Disclaimer