AuditorPraise

medium

old borrowing key is used instead of newBorrowingKey when adding old loans to the newBorrowing in LiquidityBorrowingManager.takeOverDebt()

Summary

when _addKeysAndLoansInfo() is called within LiquidityBorrowingManager.takeOverDebt(), old Borrowing Key is used and not newBorrowingKey see here

Vulnerability Detail

The old borrowing key credentials are deleted in _removeKeysAndClearStorage(oldBorrowing.borrower, borrowingKey, oldLoans); see here

And a new borrowing key is created with the holdToken, saleToken, and the address of the user who wants to take over the borrowing in the _initOrUpdateBorrowing(). see here

now the old borrowing key whose credentials are already deleted is used to update the old loans in _addKeysAndLoansInfo() instead of the newBorrowingKey generated in _initOrUpdateBorrowing() see here

Impact

wrong borrowing Key is used (i.e the old borrowing key) when adding old loans to newBorrowing

Therefore the wrong borrowing key (i.e the old borrowing key) will be added as borrowing key for tokenId of old Loans in tokenIdToBorrowingKeys in _addKeysAndLoansInfo()

(i.e when the bug of update bool being false, is corrected, devs should understand :))

Code Snippet

https://github.com/sherlock-audit/2023-10-real-wagmi/blob/main/wagmi-leverage/contracts/LiquidityBorrowingManager.sol#L440-L441

Tool used

Manual Review

Recommendation

use newBorrowingKey when calling _addKeysAndLoansInfo() instead of old borrowing key.