- v4 Hook Security Foundations
- Security-first guide for building Uniswap v4 hooks. Hook vulnerabilities can drain user funds—understand these concepts before writing any hook code.
- Threat Model
- Before writing code, understand the v4 security context:
- Threat Area
- Description
- Mitigation
- Caller Verification
- Only
- PoolManager
- should invoke hook functions
- Verify
- msg.sender == address(poolManager)
- Sender Identity
- msg.sender
- always equals PoolManager, never the end user
- Use
- sender
- parameter for user identity
- Router Context
- The
- sender
- parameter identifies the router, not the user
- Implement router allowlisting
- State Exposure
- Hook state is readable during mid-transaction execution
- Avoid storing sensitive data on-chain
- Reentrancy Surface
- External calls from hooks can enable reentrancy
- Use reentrancy guards; minimize external calls
- Permission Flags Risk Matrix
- All 14 hook permissions with associated risk levels:
- Permission Flag
- Risk Level
- Description
- Security Notes
- beforeInitialize
- LOW
- Called before pool creation
- Validate pool parameters
- afterInitialize
- LOW
- Called after pool creation
- Safe for state initialization
- beforeAddLiquidity
- MEDIUM
- Before LP deposits
- Can block legitimate LPs
- afterAddLiquidity
- LOW
- After LP deposits
- Safe for tracking/rewards
- beforeRemoveLiquidity
- HIGH
- Before LP withdrawals
- Can trap user funds
- afterRemoveLiquidity
- LOW
- After LP withdrawals
- Safe for tracking
- beforeSwap
- HIGH
- Before swap execution
- Can manipulate prices
- afterSwap
- MEDIUM
- After swap execution
- Can observe final state
- beforeDonate
- LOW
- Before donations
- Access control only
- afterDonate
- LOW
- After donations
- Safe for tracking
- beforeSwapReturnDelta
- CRITICAL
- Returns custom swap amounts
- NoOp attack vector
- afterSwapReturnDelta
- HIGH
- Modifies post-swap amounts
- Can extract value
- afterAddLiquidityReturnDelta
- HIGH
- Modifies LP token amounts
- Can shortchange LPs
- afterRemoveLiquidityReturnDelta
- HIGH
- Modifies withdrawal amounts
- Can steal funds
- Risk Thresholds
- LOW
-
- Unlikely to cause fund loss
- MEDIUM
-
- Requires careful implementation
- HIGH
-
- Can cause fund loss if misimplemented
- CRITICAL
-
- Can enable complete fund theft
- CRITICAL: NoOp Rug Pull Attack
- The
- BEFORE_SWAP_RETURNS_DELTA
- permission (bit 10) is the most dangerous hook permission. A malicious hook can:
- Return a delta claiming it handled the entire swap
- PoolManager accepts this and settles the trade
- Hook keeps all input tokens without providing output
- User loses entire swap amount
- Attack Pattern
- // MALICIOUS - DO NOT USE
- function
- beforeSwap
- (
- address
- ,
- PoolKey
- calldata
- ,
- IPoolManager
- .
- SwapParams
- calldata
- params
- ,
- bytes
- calldata
- )
- external
- override
- returns
- (
- bytes4
- ,
- BeforeSwapDelta
- ,
- uint24
- )
- {
- // Claim to handle the swap but steal tokens
- int128
- amountSpecified
- =
- int128
- (
- params
- .
- amountSpecified
- )
- ;
- BeforeSwapDelta delta
- =
- toBeforeSwapDelta
- (
- amountSpecified
- ,
- 0
- )
- ;
- return
- (
- BaseHook
- .
- beforeSwap
- .
- selector
- ,
- delta
- ,
- 0
- )
- ;
- }
- Detection
- Before interacting with ANY hook that has
- beforeSwapReturnDelta: true
- :
- Audit the hook code
- - Verify legitimate use case
- Check ownership
- - Is it upgradeable? By whom?
- Verify track record
- - Has it been audited by reputable firms?
- Start small
- - Test with minimal amounts first
- Legitimate Uses
- NoOp patterns are valid for:
- Just-in-time liquidity (JIT)
- Custom AMM curves
- Intent-based trading systems
- RFQ/PMM integrations
- But each requires careful implementation and audit.
- Delta Accounting Fundamentals
- v4 uses a credit/debit system through the PoolManager:
- Core Invariant
- For every transaction: sum(deltas) == 0
- The PoolManager tracks what each address owes or is owed. At transaction end, all debts must be settled.
- Key Functions
- Function
- Purpose
- Direction
- take(currency, to, amount)
- Withdraw tokens from PoolManager
- You receive tokens
- settle(currency)
- Pay tokens to PoolManager
- You send tokens
- sync(currency)
- Update PoolManager balance tracking
- Preparation for settle
- Settlement Pattern
- // Correct pattern: sync before settle
- poolManager
- .
- sync
- (
- currency
- )
- ;
- currency
- .
- transfer
- (
- address
- (
- poolManager
- )
- ,
- amount
- )
- ;
- poolManager
- .
- settle
- (
- currency
- )
- ;
- Common Mistakes
- Forgetting sync
-
- Settlement fails without sync
- Wrong order
-
- Must sync → transfer → settle
- Partial settlement
-
- Leaves transaction in invalid state
- Double settlement
- Causes accounting errors Access Control Patterns PoolManager Verification Every hook callback MUST verify the caller: modifier onlyPoolManager ( ) { require ( msg . sender == address ( poolManager ) , "Not PoolManager" ) ; _ ; } function beforeSwap ( address sender , PoolKey calldata key , IPoolManager . SwapParams calldata params , bytes calldata hookData ) external override onlyPoolManager returns ( bytes4 , BeforeSwapDelta , uint24 ) { // Safe to proceed } Why This Matters Without this check: Anyone can call hook functions directly Attackers can manipulate hook state Funds can be drained through fake callbacks Router Verification Patterns The sender parameter is the router, not the end user. For hooks that need user identity: Allowlisting Pattern mapping ( address => bool ) public allowedRouters ; function beforeSwap ( address sender , // This is the router PoolKey calldata key , IPoolManager . SwapParams calldata params , bytes calldata hookData ) external override onlyPoolManager returns ( bytes4 , BeforeSwapDelta , uint24 ) { require ( allowedRouters [ sender ] , "Router not allowed" ) ; // Proceed with swap } User Identity via hookData function beforeSwap ( address sender , PoolKey calldata key , IPoolManager . SwapParams calldata params , bytes calldata hookData ) external override onlyPoolManager returns ( bytes4 , BeforeSwapDelta , uint24 ) { // Decode user address from hookData (router must include it) address user = abi . decode ( hookData , ( address ) ) ; // CAUTION: Router must be trusted to provide accurate user } msg.sender Trap // WRONG - msg.sender is always PoolManager in hooks function beforeSwap ( . . . ) external { require ( msg . sender == someUser ) ; // Always fails or wrong } // CORRECT - Use sender parameter function beforeSwap ( address sender , . . . ) external { require ( allowedRouters [ sender ] , "Invalid router" ) ; } Token Handling Hazards Not all tokens behave like standard ERC-20s: Token Type Hazard Mitigation Fee-on-transfer Received amount < sent amount Measure actual balance changes Rebasing Balance changes without transfers Avoid storing raw balances ERC-777 Transfer callbacks enable reentrancy Use reentrancy guards Pausable Transfers can be blocked Handle transfer failures gracefully Blocklist Specific addresses blocked Test with production addresses Low decimals Precision loss in calculations Use appropriate scaling Safe Balance Check Pattern function safeTransferIn ( IERC20 token , address from , uint256 amount ) internal returns ( uint256 received ) { uint256 balanceBefore = token . balanceOf ( address ( this ) ) ; token . safeTransferFrom ( from , address ( this ) , amount ) ; received = token . balanceOf ( address ( this ) ) - balanceBefore ; } Base Hook Template Start with all permissions disabled. Enable only what you need: // SPDX-License-Identifier: MIT pragma solidity ^ 0.8.24 ; import { BaseHook } from "v4-periphery/src/base/hooks/BaseHook.sol" ; import { Hooks } from "v4-core/src/libraries/Hooks.sol" ; import { IPoolManager } from "v4-core/src/interfaces/IPoolManager.sol" ; import { PoolKey } from "v4-core/src/types/PoolKey.sol" ; import { BeforeSwapDelta , BeforeSwapDeltaLibrary } from "v4-core/src/types/BeforeSwapDelta.sol" ; contract SecureHook is BaseHook { constructor ( IPoolManager _poolManager ) BaseHook ( _poolManager ) { } function getHookPermissions ( ) public pure override returns ( Hooks . Permissions memory ) { return Hooks . Permissions ( { beforeInitialize : false , afterInitialize : false , beforeAddLiquidity : false , afterAddLiquidity : false , beforeRemoveLiquidity : false , afterRemoveLiquidity : false , beforeSwap : false , // Enable only if needed afterSwap : false , // Enable only if needed beforeDonate : false , afterDonate : false , beforeSwapReturnDelta : false , // DANGER: NoOp attack vector afterSwapReturnDelta : false , // DANGER: Can extract value afterAddLiquidityReturnDelta : false , afterRemoveLiquidityReturnDelta : false } ) ; } // Implement only the callbacks you enabled above } See references/base-hook-template.md for a complete implementation template. Security Checklist Before deploying any hook:
- Check
- Status
- 1
- All hook callbacks verify
- msg.sender == poolManager
- [ ]
- 2
- Router allowlisting implemented if needed
- [ ]
- 3
- No unbounded loops that can cause OOG
- [ ]
- 4
- Reentrancy guards on external calls
- [ ]
- 5
- Delta accounting sums to zero
- [ ]
- 6
- Fee-on-transfer tokens handled
- [ ]
- 7
- No hardcoded addresses
- [ ]
- 8
- Slippage parameters respected
- [ ]
- 9
- No sensitive data stored on-chain
- [ ]
- 10
- Upgrade mechanisms secured (if applicable)
- [ ]
- 11
- beforeSwapReturnDelta
- justified if enabled
- [ ]
- 12
- Fuzz testing completed
- [ ]
- 13
- Invariant testing completed
- [ ]
- Gas Budget Guidelines
- Hook callbacks execute inside the PoolManager's transaction context. Excessive gas consumption can make swaps revert or become economically unviable.
- Gas Budgets by Callback
- Callback
- Target Budget
- Hard Ceiling
- Notes
- beforeSwap
- < 50,000 gas
- 150,000 gas
- Runs on every swap; keep lean
- afterSwap
- < 30,000 gas
- 100,000 gas
- Analytics/tracking only
- beforeAddLiquidity
- < 50,000 gas
- 200,000 gas
- May include access control
- afterAddLiquidity
- < 30,000 gas
- 100,000 gas
- Reward tracking
- beforeRemoveLiquidity
- < 50,000 gas
- 200,000 gas
- Lock validation
- afterRemoveLiquidity
- < 30,000 gas
- 100,000 gas
- Tracking/accounting
- Callbacks with external calls
- < 100,000 gas
- 300,000 gas
- External DEX routing, oracles
- Common Gas Pitfalls
- Unbounded loops
-
- Iterating over dynamic arrays (e.g., all active positions) can exceed block gas limits. Cap array sizes or use pagination.
- SSTORE in hot paths
-
- Each new storage slot costs ~20,000 gas. Prefer transient storage (
- tstore
- /
- tload
- ) for data that doesn't persist beyond the transaction. Requires Solidity >= 0.8.24 with EVM target set to
- cancun
- or later.
- External calls
-
- Each cross-contract call adds ~2,600 gas base cost plus the callee's execution. Batch calls where possible.
- String operations
-
- Avoid
- string
- manipulation in callbacks; use
- bytes32
- for identifiers.
- Redundant reads
- Cache poolManager calls — repeated getSlot0() or getLiquidity() reads cost gas each time. Measuring Gas
Profile a specific hook callback with Foundry
forge test --match-test test_beforeSwapGas --gas-report
Snapshot gas usage across all tests
forge snapshot --match-contract MyHookTest Risk Scoring System Calculate your hook's risk score (0-33): Category Points Criteria Permissions 0-14 Sum of enabled permission risk levels External Calls 0-5 Number and type of external interactions State Complexity 0-5 Amount of mutable state Upgrade Mechanism 0-5 Proxy, admin functions, etc. Token Handling 0-4 Non-standard token support Audit Tier Recommendations Score Risk Level Recommendation 0-5 Low Self-audit + peer review 6-12 Medium Professional audit recommended 13-20 High Professional audit required 21-33 Critical Multiple audits required Absolute Prohibitions Never do these things in a hook: Never trust msg.sender for user identity - It's always PoolManager Never enable beforeSwapReturnDelta without understanding NoOp attacks Never store passwords, keys, or PII on-chain Never use transfer() for ETH - Use call{value:}("") Never assume token decimals - Always query the token Never use block.timestamp for randomness Never hardcode gas limits in calls Never ignore return values from external calls Never use tx.origin for authorization - It's a phishing vector; malicious contracts can relay calls with the original user's tx.origin Pre-Deployment Audit Checklist
Item Required For 1 Code review by security-focused developer All hooks 2 Unit tests for all callbacks All hooks 3 Fuzz testing with Foundry All hooks 4 Invariant testing Hooks with delta returns 5 Fork testing on mainnet All hooks 6 Gas profiling All hooks 7 Formal verification Critical hooks 8 Slither/Mythril analysis All hooks 9 External audit Medium+ risk hooks 10 Bug bounty program High+ risk hooks 11 Monitoring/alerting setup All production hooks See references/audit-checklist.md for detailed audit requirements. Production Hook References Learn from audited, production hooks: Project Description Notable Security Features Flaunch Token launch platform Multi-sig admin, timelocks EulerSwap Lending integration Isolated risk per market Zaha TWAMM Time-weighted AMM Gradual execution reduces MEV Bunni LP management Concentrated liquidity guards External Resources Official Documentation v4-core Repository v4-periphery Repository Uniswap v4 Docs Hook Permissions Guide Security Resources Trail of Bits Audits Certora v4 Analysis ABDK Consulting Community v4-hooks-skill by @igoryuzo - Community skill that inspired this guide v4hooks.dev - Community hook resources Additional References Base Hook Template - Complete implementation starter Vulnerabilities Catalog - Common patterns and mitigations Audit Checklist - Detailed pre-deployment checklist