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Web3 Smart Contracts

Smart contract development on EVM-compatible blockchains requires a unique discipline - code is immutable once deployed, bugs can drain millions, and every computation costs gas. This skill covers Solidity best practices, security-first development, DeFi protocol patterns, gas optimization, and audit-grade code review. It equips an agent to write, review, and audit smart contracts the way a professional auditor at Trail of Bits or OpenZeppelin would approach the task.

When to use this skill

Trigger this skill when the user:

• Writes or reviews Solidity smart contracts
• Asks about smart contract security vulnerabilities (reentrancy, flash loans, front-running)
• Wants to implement DeFi patterns (AMM, lending, staking, vaults)
• Needs gas optimization for contract deployment or execution
• Asks about ERC standards (ERC-20, ERC-721, ERC-1155, ERC-4626)
• Wants to set up Foundry or Hardhat testing for contracts
• Needs an audit checklist or security review of a contract
• Asks about upgradeable contracts, proxy patterns, or storage layout

Do NOT trigger this skill for:

• Frontend dApp development with ethers.js/wagmi (use frontend-developer instead)
• General cryptography concepts unrelated to smart contracts (use cryptography instead)

Key principles

1. Security over cleverness - Every line of Solidity is an attack surface. Prefer well-audited OpenZeppelin implementations over custom code. "Don't be clever" is the cardinal rule - clever code hides bugs that drain funds.

2. Checks-Effects-Interactions (CEI) - Always validate inputs first (checks), update state second (effects), and make external calls last (interactions). This is the primary defense against reentrancy.

3. Gas is money - Every opcode has a cost paid by users. Optimize storage reads/writes (SSTORE is 20,000 gas), pack structs, use calldata over memory for read-only params, and batch operations where possible.

4. Immutability demands perfection - Deployed contracts cannot be patched. Use comprehensive testing (100% branch coverage), formal verification where feasible, and always get an independent audit before mainnet deployment.

5. Composability is a feature and a risk - DeFi's power comes from composability, but every external call is an untrusted entry point. Assume all external contracts are malicious. Use reentrancy guards and validate return values.

Core concepts

The EVM execution model determines everything in Solidity. Storage slots cost 20,000 gas to write (SSTORE) and 2,100 gas to read (SLOAD). Memory is cheap but ephemeral. Calldata is cheapest for function inputs. Understanding this cost model is essential for writing efficient contracts. See references/gas-optimization.md.

Solidity's type system and storage layout directly affect security. Storage variables are laid out sequentially in 32-byte slots. Structs can be packed to share slots. Mappings and dynamic arrays use keccak256 hashing for slot computation. Proxy patterns depend on storage layout compatibility between implementations.

DeFi building blocks are composable primitives: AMMs (constant product formula), lending protocols (collateralization ratios, liquidation), yield vaults (ERC-4626), staking (reward distribution), and governance (voting, timelocks). Each has well-known attack vectors. See references/defi-patterns.md.

The security landscape includes reentrancy, flash loan attacks, oracle manipulation, front-running (MEV), integer overflow (pre-0.8.0), access control failures, and storage collisions in proxies. A single missed check can drain an entire protocol. See references/security-audit.md.

Common tasks

Write a secure ERC-20 token

Always inherit from OpenZeppelin. Never implement token logic from scratch.

// SPDX-License-Identifier: MIT
pragma solidity ^0.8.20;

import "@openzeppelin/contracts/token/ERC20/ERC20.sol";
import "@openzeppelin/contracts/access/Ownable.sol";

contract MyToken is ERC20, Ownable {
    constructor(uint256 initialSupply)
        ERC20("MyToken", "MTK")
        Ownable(msg.sender)
    {
        _mint(msg.sender, initialSupply * 10 ** decimals());
    }

    function mint(address to, uint256 amount) external onlyOwner {
        _mint(to, amount);
    }
}

Prevent reentrancy attacks

Apply CEI pattern and use OpenZeppelin's ReentrancyGuard:

import "@openzeppelin/contracts/utils/ReentrancyGuard.sol";

contract Vault is ReentrancyGuard {
    mapping(address => uint256) public balances;

    function withdraw(uint256 amount) external nonReentrant {
        // CHECKS
        require(balances[msg.sender] >= amount, "Insufficient balance");

        // EFFECTS (update state BEFORE external call)
        balances[msg.sender] -= amount;

        // INTERACTIONS (external call last)
        (bool success, ) = msg.sender.call{value: amount}("");
        require(success, "Transfer failed");
    }
}

Optimize gas usage

Key patterns for reducing gas costs:

contract GasOptimized {
    // Pack structs - these fit in one 32-byte slot (uint128 + uint64 + uint32 + bool)
    struct Order {
        uint128 amount;
        uint64 timestamp;
        uint32 userId;
        bool active;
    }

    // Use immutable for constructor-set values (avoids SLOAD)
    address public immutable factory;
    uint256 public immutable fee;

    // Cache storage reads in memory
    function processOrders(uint256[] calldata orderIds) external {
        uint256 length = orderIds.length; // cache array length
        for (uint256 i; i < length; ) {
            // process order
            unchecked { ++i; } // safe: i < length prevents overflow
        }
    }

    // Use custom errors instead of require strings (saves deployment gas)
    error InsufficientBalance(uint256 available, uint256 required);

    function withdraw(uint256 amount) external {
        uint256 bal = balances[msg.sender]; // cache SLOAD
        if (bal < amount) revert InsufficientBalance(bal, amount);
        balances[msg.sender] = bal - amount;
    }
}

See references/gas-optimization.md for the full optimization checklist.

Implement an ERC-4626 tokenized vault

import "@openzeppelin/contracts/token/ERC20/extensions/ERC4626.sol";

contract YieldVault is ERC4626 {
    constructor(IERC20 asset_)
        ERC4626(asset_)
        ERC20("Yield Vault Token", "yvTKN")
    {}

    function totalAssets() public view override returns (uint256) {
        return IERC20(asset()).balanceOf(address(this));
    }
}

Set up Foundry testing

// test/Vault.t.sol
pragma solidity ^0.8.20;

import "forge-std/Test.sol";
import "../src/Vault.sol";

contract VaultTest is Test {
    Vault vault;
    address alice = makeAddr("alice");

    function setUp() public {
        vault = new Vault();
        vm.deal(alice, 10 ether);
    }

    function test_deposit() public {
        vm.prank(alice);
        vault.deposit{value: 1 ether}();
        assertEq(vault.balances(alice), 1 ether);
    }

    function test_withdraw_reverts_on_insufficient_balance() public {
        vm.prank(alice);
        vm.expectRevert("Insufficient balance");
        vault.withdraw(1 ether);
    }

    // Fuzz testing - Foundry generates random inputs
    function testFuzz_deposit_withdraw(uint96 amount) public {
        vm.assume(amount > 0);
        vm.deal(alice, amount);
        vm.startPrank(alice);
        vault.deposit{value: amount}();
        vault.withdraw(amount);
        vm.stopPrank();
        assertEq(vault.balances(alice), 0);
    }
}

Audit a contract for common vulnerabilities

Walk through the contract checking for these in priority order:

1. Reentrancy - Any external call before state update? Any missing ReentrancyGuard?
2. Access control - Are admin functions properly gated? Is the owner set correctly?
3. Integer overflow - Using Solidity < 0.8.0 without SafeMath?
4. Oracle manipulation - Using spot prices from DEX pools? Use TWAP or Chainlink.
5. Flash loan attacks - Can state be manipulated within a single transaction?
6. Front-running - Can transaction ordering affect outcomes? Use commit-reveal.
7. Unchecked return values - Are low-level call return values checked?
8. Storage collisions - In proxy patterns, does the implementation share storage layout?

See references/security-audit.md for the full audit checklist.

Anti-patterns / common mistakes

References

For detailed content on specific topics, read the relevant file from references/:

• references/security-audit.md - Full audit checklist, common vulnerability catalog with real exploit examples
• references/gas-optimization.md - Complete gas optimization guide with opcode costs and storage layout
• references/defi-patterns.md - DeFi building blocks: AMM, lending, vaults, staking, governance patterns

Only load a references file if the current task requires deep detail on that topic.

Related skills

When this skill is activated, check if the following companion skills are installed. For any that are missing, mention them to the user and offer to install before proceeding with the task. Example: "I notice you don't have [skill] installed yet - it pairs well with this skill. Want me to install it?"

• cryptography - Implementing encryption, hashing, TLS configuration, JWT tokens, or key management.
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