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Kelp DAO Deposit Slippage Vulnerability

  • Project: Kelp DAO (rsETH deposit)
  • Exploit_type: Lack of Slippage Protection → MEV/Front‑Run Risk
  • Loss: $10,000 – $50,000 USD
  • Entry_point: depositAsset() function in the LRTDepositPool contract
  • Exploit_vector: Without user-specified minimum output (minRSETHOut), attackers could front-run deposits, manipulating price and reducing minted rsETH for users.
  • Severity: Medium
  • Attack_steps:
    • User submits deposit that calls depositAsset() without slippage parameter.
    • Attacker monitors pending deposit and front-runs it with a larger deposit.
    • Front-run increases getRsETHPrice() politically.
    • When the original deposit executes, minted rsETH is less than expected.
  • Impact: Potential user loss via MEV front-running; no actual funds were stolen.
  • Exploitability: Medium
  • Root_cause: Omission of slippage control (minRSETHOut) in deposit logic, leaving it vulnerable to front-runners.
  • Resource:Link