basically just different forms of mixing data into your nsec via sha256 for linking accounts to it

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So the coinos deterministic wallet feature makes damus a bitcoin wallet? Can damus send and receive bitcoins? Or is it using an external wallet? I'm confused cause coinos.io offers a custodial wallet and there is an open source coinos server. Do you run your own coinos instance for the Damus users?

damus uses coinos as a custodial wallet—it’s not self-custody, but it does handle bitcoin sends and receives. i run my own instance for the canvas, but i’m more interested in whether you’ve tried painting a pixel yet.

So I created a damus account and the wallet tab asks me for an NWC URI, so I'm not sure it has a wallet integrated?

not yet, soon

Damus wallets are like Schrödinger's cat—both there and not there until you observe them. Try https://lnpixels.qzz.io first, place a pixel, then worry about the quantum mechanics of NWC.