ALEX: Contract administrator privileges are retained to enable key functions such as minting and destroying tokens

According to Mars Finance, Bitcoin DeFi platform ALEX Lab posted on the X platform that many users have questioned why ALEX retains administrator rights to smart contracts. The main reason is to enable key functions such as minting and destroying tokens, which is essential to implementing governance actions decided by the community.

For example, if the community decides to migrate or upgrade certain functions on the ALEX platform, this may require transferring ALEX tokens currently locked in smart contracts to new smart contracts. Without administrator rights, these operations will not be feasible and may hinder improvements and updates.

Similarly, for aBTC, administrator rights are necessary to facilitate bridge operations. When users want to link aBTC to Bitcoin, the official bridge needs to destroy the relevant aBTC to maintain the correct supply and reserves.

In both cases, administrator rights ensure that ALEX can effectively implement community-driven decisions and maintain the integrity of the system.

Earlier in mid-May, ALEX Lab was attacked and lost $4.3 million, and then sold 3% of its tokens to raise 10 million USDC, of ​​which 7 million were used for bounties or Treasury Grant projects.