What Are the Security Implications of an Immutable, Flawed Smart Contract?

The primary security implication is that a bug, vulnerability, or exploit in an immutable smart contract cannot be fixed after deployment. Once the flawed code is on the blockchain, it is permanent, making the contract and its locked funds a perpetual target for attackers.

This permanence has led to significant financial losses in the past. Rigorous auditing is therefore mandatory before deploying an immutable financial contract.