the immediate one will be that narrowing down relay selection (i.e. relay set) is hard/annoying, so people hardly ever do it and just add "yet another relay", which breaks the balkanization/specialization of relays.

this one way I've approached solving this, which allows for a complete context-switch in a single click:

e.g. you could be using "general" nostr and one-click into bitcoin-park nostr, and then one-click into you-and-your-families nostr; with different profile info, different client settings, etc

nostr:note1e95enlnpu5prnt4j5gjucm4m8rrqzqz6eh22t3rh896v9rdwen5qq8nysz

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On flycat we called it relay selector, much like relay set. The problem is most user won’t setup different group of relays right now since relay are not that diverse and client do a bad job to show each relay’s information. We need better UX desgin and much more small diversity relays out there.

exactly

in reality, I think some people (e.g. community managers) will create relay set NIP-51s (I'm using kind:30022 on nostr:npub1w0rthyjyp2f5gful0gm2500pwyxfrx93a85289xdz0sd6hyef33sh2cu4x ) and other people will use that list, so each person won't have to configure it.

at local venues a tap-to-connect would be ideal

100% . I am so excited to see this feature coming to nostr. The relay organizing has been really quite frustrating. Thank you so much!

Does this break the paid relay business model

"frameworks are to organize your mind, not your code" - Rich Harris

Relay Framework here we come!!