But that's a result of the Agile way of development. The MVP is "be able to drag a program to the terminal and run it", and the next feature, way down on the backlog is "allow the user to revoke permissions granted by dragged-in apps"
It's actually the result of product-owners deciding to release unfinished software, likely responding to incentives from management to ship (boolean) without clear standards about what is shippable (non-boolean).
I don't like this... but in fairness, this is not a regression.
The Documents folder was not protected from Terminal before Catalina. Now, items in Documents are protected unless you explicitly drag them into Terminal-- but there's no way to "re-protect" them.
That is, at worst, users are in the situation they were before Catalina.