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Place milk in a large bowl then add the yeast. Let it rest for 2 minutes then add the sugar, egg, and butter and mix well.
Add the flour and salt and mix well to form a dough. The dough will be slightly sticky and that's okay! Place the dough on a floured board and knead for about 5 minutes until it is no longer sticky.
Return the dough to the bowl. Cover with plastic wrap and a kitchen towel then place in a warm place to rise for 2 hours. Alternately, place in the fridge to rise overnight.
Punch down dough to remove excess air. (If you kept the dough in the fridge then let it rest out of the fridge for about 30 minutes until it reaches room temperature before you follow this step.
Place dough on a floured board and roll out into a large (14 by 12 inch) rectangle. Cut the rectangle into 2-inch squares. Let the cut-out dough rest for about 10 minutes while you heat up the oil.
Place oil in a frying pan up to 3 or 4 inches. Let it heat up on medium heat for about 8 minutes. If using a thermometer to measure, heat up the oil until it reaches 350 degrees Fahrenheit (180 degrees Celsius). Let it fry for about 1-2 minutes on one side then flip to the other side and let it fry for another 1-2 minutes. Remove and place on paper towels to absorbs the excess oil. Sprinkle with confectioners/icing sugar.
Enjoy your beignets with tea or coffee.