Term Finance
April 2023
NFT Bounty reviewed Term Finance contracts around auction lifecycle, collateral movement, liquidation behavior, and settlement correctness. The case study shows how DeFi audit scope changes when fund flows depend on timed auctions, cancellations, unlock paths, and stressed liquidation states.
Engagement snapshot
NFT Bounty reviewed Term Finance contracts with a chief focus on auction lifecycle correctness, collateral accounting, and liquidation behavior. The assessment spotted a significant concentration of severe/high findings in safety-critical fund-flow logic, plus extra hardening recommendations. The report offers a high-priority remediation sequence to tighten integrity of settlement and liquidation operations.
By the numbers
Total findings
27
High + severe findings
15
Scope we covered
-
Auction lifecycle
Bid/offer flow, unlock/cancel behavior, and settlement handling across key transitions.
-
Collateral and liquidation paths
Fund movement correctness and liquidation safety in stressed conditions.
-
Protocol invariants
Consistency of accounting assumptions under edge-case and adversarial inputs.
Related services
Related notes
Looking for a security audit?
Book a scoping talk