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dFusion AI Smart Contract Audit

5 min read

Partnership Overview

Client

dFusion AI

Platform

Monad

Service

Smart Contract Security Audit

Scope

Attestation Center Contracts

About dFusion AI

dFusion AI is building decentralized infrastructure for AI verification and attestation on the Monad blockchain. Their platform enables trusted attesters to create cryptographically signed attestations that can be used for AI model verification, data provenance, and decentralized identity systems. The attestation center serves as the core component for managing attester authorization, signature verification, and attestation lifecycle management in AI-powered applications.

Security Requirements

As dFusion AI scales their attestation infrastructure to support decentralized AI verification systems, ensuring the security and integrity of their smart contracts is critical. Attestation systems require robust protection against unauthorized access, signature manipulation, and state management vulnerabilities that could undermine trust in the verification process.

The engagement scope encompassed dFusion's SimplifiedAttestationCenter contract on Monad, covering authentication and authorization logic, signature verification mechanisms, attestation state transitions, and administrative access controls.

Audit Methodology

FailSafe's security team conducted a comprehensive audit combining manual code review with automated analysis, targeting the full attack surface of dFusion's attestation infrastructure:

Authorization & Access Control Review

Comprehensive analysis of attester authorization mechanisms, ownership patterns, and privilege management to ensure only authorized parties can create and revoke attestations.

Signature Verification Analysis

Deep review of cryptographic signature generation and verification logic, including hash collision risks and replay attack prevention mechanisms.

State Management Security

Evaluation of attestation lifecycle management, state transitions between creation and revocation, and duplicate prevention mechanisms to ensure data integrity.

Administrative Controls Assessment

Testing of ownership patterns, batch operations, and emergency controls to validate proper administrative safeguards and prevent accidental lockout scenarios.

Confidential Partnership

In accordance with dFusion AI's security and business requirements, the detailed findings and specific vulnerabilities identified during this audit remain confidential. Our partnership focused on identifying and remediating security considerations across multiple severity levels, with the development team demonstrating excellent responsiveness in implementing fixes.

The audit identified findings across multiple severity levels related to attestation lifecycle management, cryptographic operations, and contract administration. All findings have been successfully resolved with FailSafe providing verification testing.

Partnership Impact

Through close collaboration with dFusion AI's development team, FailSafe provided comprehensive security guidance that strengthened the platform's attestation infrastructure. The engagement covered:

  • Enhanced authorization checks to ensure deauthorized attesters cannot perform privileged operations on their historical attestations
  • Improved state management for attestation lifecycle to allow proper reissuance after revocation without permanent lockout
  • Signature expiration mechanisms to bound the validity window and protect against key compromise scenarios
  • Secure encoding practices to eliminate hash collision risks in signature verification
  • Administrative safeguards to prevent accidental ownership renunciation and ensure contract recoverability

Interested in Learning More?

If you're building AI verification systems, attestation infrastructure, or decentralized identity platforms and need comprehensive smart contract security services, our team can share more about our approach and how we've helped projects like dFusion AI secure their platforms.

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