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We have a custom Bot we developed but it won't run unless we enable side loading of Apps for Teams in the o365 config. Is there any real risk in doing this?

Any other way? if we don't enable side loading will the bot need to be deployed to the Microsoft store? How and where?

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You should not be side-loading apps for production use. That feature is intended for development use only. Instead, use your tenant's App Catalog.

More info on side loading, make sure to read the section, "why isn't it activated by default"

About the App (errr, Add-In) Catalog

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