58273 sc medium incorrect hardcoded 0x settler function selectors

Submitted on Oct 31st 2025 at 21:42:23 UTC by @Josh4324 for Audit Comp | Alchemix V3

• Report ID: #58273

• Report Type: Smart Contract

• Report severity: Medium

• Target: https://github.com/alchemix-finance/v3-poc/blob/immunefi_audit/src/utils/ZeroXSwapVerifier.sol

• Impacts:

  • Contract fails to deliver promised returns, but doesn't lose value

Description

Brief/Intro

The ZeroXSwapVerifier library attempts to validate calldata targeted at 0x Settler execute(...) and executeMetaTxn(...) functions by matching hardcoded bytes4 selectors:

bytes4 private constant EXECUTE_SELECTOR = 0xcf71ff4f;
bytes4 private constant EXECUTE_META_TXN_SELECTOR = 0x0476baab;

These hardcoded values do not match the actual function selectors used by the 0x Settler ABI. As a result, verifySwapCalldata(...) will either reject legitimate 0x Settler calldata or incorrectly route calldata to the wrong decoder path — causing immediate reverts or incorrect decoding.

The correct selectors are

EXECUTE_SELECTOR = 0x1ff991f -> "execute((address,address,uint256),bytes[],bytes32)"

EXECUTE_META_TXN_SELECTOR = 0xfd3ad6d4 -> "executeMetaTxn((address,address,uint256),bytes[],bytes32,address,bytes)"

The incorrect selectors used are

EXECUTE_SELECTOR = "executeMetaTxn((address,address,uint256),bytes[],address,bytes)" - 0xcf71ff4f 

EXECUTE_META_TXN_SELECTOR = "setDescription(uint128,string)" - 0x0476baab

Vulnerability Details

The verifySwapCalldata currently does:

 function verifySwapCalldata(bytes calldata calldata_, address owner, address targetToken, uint256 maxSlippageBps) external view returns (bool verified) {
        if (calldata_.length < 4) {
            return false;
        }

        bytes4 selector = bytes4(calldata_[0:4]);

        // Check if it's a valid 0x Settler function
        require(selector == EXECUTE_SELECTOR || selector == EXECUTE_META_TXN_SELECTOR, "IS");

        decodeAndVerifyActions(calldata_, owner, targetToken, maxSlippageBps);
        return true;
    }

Because the hardcoded values are wrong:

Valid 0x Settler transactions fail the require check and revert with "IS".

Calls in _verifyExecuteCalldata and _verifyExecuteMetaTxnCalldata will revert or perform incorrect decoding when legitimate flows rely on this verifier.

Impact Details

Calls that should pass verification will be rejected, blocking users or integrations that rely on this verifier.

References

https://github.com/alchemix-finance/v3-poc/blob/immunefi_audit/src/utils/ZeroXSwapVerifier.sol#L20

Proof of Concept

Add the code below to src/test/ZeroXSwapVerifier.t.sol

Run forge test --mt testVerifyExecute1 -vvvv

function _buildExecute(TestERC20 _token, address recipient, uint256 bps) internal pure returns (bytes memory) {
        bytes memory action = abi.encodeWithSelector(
            BASIC_SELL_TO_POOL,
            address(_token),
            bps, // bps
            recipient,
            0,
            ""
        );

        ZeroXSwapVerifier.SlippageAndActions memory saa =
            ZeroXSwapVerifier.SlippageAndActions({recipient: recipient, buyToken: address(0), minAmountOut: 0, actions: new bytes[](1)});
        saa.actions[0] = action;

        return abi.encodeWithSignature("execute(SlippageAndActions,bytes[])", saa, new bytes[](0));

        //return abi.encodeWithSelector(EXECUTE_SELECTOR, saa, new bytes[](0));
    }

    function testVerifyExecute1() public {
        bytes memory _calldata = _buildExecute(token, spender, 500); // 500 bps = 5% slippage
        bool verified = ZeroXSwapVerifier.verifySwapCalldata(
            _calldata,
            owner,
            address(token),
            1000 // 1000 bps = 10% max slippage
        );
        assertTrue(verified);
    }