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What Is the Concept of “Upgradability” in Smart Contracts and Its Associated Risk?

The ability to modify a contract's logic after deployment. Risk is centralization if a small group controls the upgrade key, allowing malicious changes.
Greeks.Live22.11.25

What Is the Concept of “Upgradability” in Smart Contracts and Its Associated Risk?

Upgradability allows the logic of a smart contract to be modified after deployment, typically via a proxy pattern or a DAO vote. This is necessary for bug fixes and feature additions.

The associated risk is centralization: if the upgrade mechanism is controlled by a small group, they could maliciously change the contract, effectively seizing funds or introducing backdoors.

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