Note: At the judges request here, this downgraded issue from the same warden has been included in this report for completeness.
https://github.com/code-423n4/2023-11-zetachain/blob/main/repos/node/zetaclient/zeta_supply_checker.go#L113-L116
https://github.com/code-423n4/2023-11-zetachain/blob/main/repos/protocol-contracts/contracts/evm/ZetaConnector.non-eth.sol#L16
https://github.com/code-423n4/2023-11-zetachain/blob/main/repos/protocol-contracts/contracts/evm/ZetaConnector.non-eth.sol#L69
The whitepaper claim at section 7.3 that the protocol implement a defense mechanism to prevent ZETA token to be inflated with invalid mint, such that the total supply cannot be inflated in case of bugs being exploited.
However, such mechanism is currently only partially implemented which seems to warrant Medium severity.
Documentation claim is inaccurate and the Zeta platform cannot claim to have such Comprehensive Defense Against Arbitrary Minting mechanism in place in the moment.
I would like to describe in more details what are the current weakness of the defense mechanism.
Remove such claim from the WhitePaper or complete the mechanism such that it work as described. If you want to complete it, I would suggest the following steps:
