Omniscia Morpho Labs Audit
Tokenized Vaults Security Audit
Audit Overview
We were tasked with performing an audit of the Morpho codebase and in particular their tokenized vault implementations integrating with the Aave V3 and Compound ecosystem.
Over the course of the audit, we identified certain unsafe casting operations as well as the lack of a slippage system for the EIP-4626 standard that can significantly affect the operation of the vaults.
We advise the Morpho Labs team to closely evaluate all minor-and-above findings identified in the report and promptly remediate them as well as consider all optimizational exhibits identified in the report.
Post-Audit Conclusion
The Morpho Labs team provided a new commit hash meant to address the exhibits outlined in the audit report and additionally advised us on certain exhibits they deem as acknowledge-able.
All exhibits have been adequately dealt with and the Morpho Labs team provided supplemental material to nullify one of the exhibits related to Compound integration as well as promised future actions for two exhibits related to slippage issues based on a secondary protocol's audit conclusion.
Contracts Assessed
Audit Synopsis
| Severity | Identified | Alleviated | Partially Alleviated | Acknowledged |
|---|---|---|---|---|
 | 6 | 6 | 0 | 0 |
 | 7 | 7 | 0 | 0 |
 | 6 | 6 | 0 | 0 |
 | 4 | 2 | 0 | 2 |
 | 1 | 1 | 0 | 0 |
During the audit, we filtered and validated a total of 9 findings utilizing static analysis tools as well as identified a total of 15 findings during the manual review of the codebase. We strongly recommend that any minor severity or higher findings are dealt with promptly prior to the project's launch as they introduce potential misbehaviours of the system as well as exploits.
The list below covers each segment of the audit in depth and links to the respective chapter of the report: