In a large bowl, combine the milk, sugar, and yeast. Whisk and let this sit at room temperature for five minutes. The mixture should turn foamy. (Note: check out notes for making this recipe without yeast.

Once the yeast mixture is foamy, add all of the dough ingredients: the sourdough discard (or active starter), melted butter, egg, all-purpose flour, and salt. Mix with a wooden spatula until a shaggy dough is formed. Then, knead by hand until smooth.

If the dough is too wet and sticky, add one tablespoon of flour at a time until the dough comes together. Knead by hand for five minutes. You can also knead in the bowl of a stand mixer with the dough hook attachment at medium-low speed.

Place the dough in a greased bowl and cover. Let rise until doubles in size. Note: if you are using yeast, it will take roughly one hour. If you are not using yeast, this will take between 2 to 4 hours. Be patient!

Once the dough has doubled, place it on a lightly floured surface. Flour the top of the dough. Use a rolling pin to roll out the dough into a rectangle. The dough should be ¼ inch thick.

With a pizza cutter, pastry wheel, or knife, cut the dough into 1 ½ inch squares. Place the squares of dough onto a baking sheet lined with parchment paper roughly 1 inch apart. Cover with plastic wrap and let proof until puffy and doubled in thickness. (If you are using yeast, this will take 45 minutes. If you are not using yeast, this will take 1 ½ to 2 ½ hours depending on the temperature of your kitchen).

Heat two inches of oil in a heavy bottom pot on medium heat. Heat until the oil is at 350°F to 375°F. Fry the sourdough beignets in batches of two to three. Fry each side in the hot oil for one minute then flip. Place on a wire cooling rack or paper towels. Dust with powdered sugar then serve immediately.