Substack will not integrate nostr unless they have total moderation control.

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they could easily moderate from the substack client side

How? Hiding individual notes?

exactly, or having e.g a more firmly moderated space show approved only

Wouldn’t that mean having to rely on your own relays only? What’s the point of nostr then?

They could use nip 72 moderation, an external filter, etc. Interop != censorship resistance