# 49800 sc insight yield distribution could encounter an unexpected revert

**Submitted on Jul 19th 2025 at 14:19:28 UTC by @a16 for** [**Attackathon | Plume Network**](https://immunefi.com/audit-competition/plume-network-attackathon)

* **Report ID:** #49800
* **Report Type:** Smart Contract
* **Report severity:** Insight
* **Target:** <https://github.com/immunefi-team/attackathon-plume-network/blob/main/arc/src/ArcToken.sol>
* **Impacts:**
  * Function call could be DoS

## Description

### Brief/Intro

When calling `distributeYield()` or `distributeYieldWithLimit()`, the transaction might experience an unexpected revert as a result of a yield-token blacklisted token holder.

### Vulnerability Details

As mentioned in `ArcTokenFactory.sol`, the yield token could be USDC:

param yieldToken Address of the yield token (e.g., USDC)

USDC is one example of a token with a blacklist, reverting whenever a blacklisted address is involved in a transaction. However, when `distributeYield()` or `distributeYieldWithLimit()` are being called, the function iterates over *holders*, transferring yield tokens to multiple addresses at the same time. Since `yToken.safeTransfer()` is not called using a try-catch scheme, any blacklisted user would revert the entire transaction.

### Impact Details

Any blacklisted user would cause an unexpected revert without a clear event indicating the problem (and more importantly, the index of the problematic holder). While this holder could be skipped using the `distributeYieldWithLimit()` function, the lack of clear revert reason might cause a temporary DoS until the issue is identified.

{% hint style="info" %}
Suggestion: Consider using a try-catch block around transfers of the yield-token, skipping holders that failed to receive the yield-token, and emitting an event describing the failure and the index (or address) of the problematic holder.
{% endhint %}

## Proof of Concept

<details>

<summary>Proof of Concept</summary>

As per Attackathon rules, no PoC is necessary.

</details>


---

# Agent Instructions: Querying This Documentation

If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question.

Perform an HTTP GET request on the current page URL with the `ask` query parameter:

```
GET https://reports.immunefi.com/plume-or-attackathon/49800-sc-insight-yield-distribution-could-encounter-an-unexpected-revert.md?ask=<question>
```

The question should be specific, self-contained, and written in natural language.
The response will contain a direct answer to the question and relevant excerpts and sources from the documentation.

Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.