CVE-2023-38701 Explained : Impact and Mitigation

This article provides detailed information about CVE-2023-38701, a critical vulnerability in the Hydra platform of input-output-hk's Cardano.

Understanding CVE-2023-38701

This section explains what CVE-2023-38701 is and its impact on the affected systems.

What is CVE-2023-38701?

CVE-2023-38701 involves a vulnerability in the Hydra system where committed UTxOs at the

commit

and

initial

validators can be spent arbitrarily by unauthorized users.

The Impact of CVE-2023-38701

The vulnerability allows attackers to steal funds that users are trying to commit into the head validator and can prevent the successful opening of any Hydra head.

Technical Details of CVE-2023-38701

This section covers the technical aspects of the vulnerability in terms of description, affected systems, and the exploitation mechanism.

Vulnerability Description

Prior to version 0.12.0, the flawed check in the

commit

validator allows any user to spend any UTxO, leading to unauthorized fund transfers.

Affected Systems and Versions

The vulnerability affects versions below 0.12.0 of the Hydra platform developed by input-output-hk.

Exploitation Mechanism

Attackers can exploit the flawed check using the

ViaAbort

redeemer to steal funds and disrupt the opening of Hydra heads.

Mitigation and Prevention

This section outlines the immediate steps to take to address the vulnerability and prevent future exploits.

Immediate Steps to Take

Users should update to version 0.12.0 or later to mitigate the vulnerability and prevent unauthorized fund transfers.

Long-Term Security Practices

Implement strict input validation practices in smart contracts and regularly update software to address security flaws.

Patching and Updates

Stay informed about security advisories from input-output-hk and apply patches promptly to secure the Hydra platform.