Are nip-05 still needed? Seems like it doesn't work for spams anyway. Can it be removed ?

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Still needed in profile but not useful as checkmark.

I was wondering that too. It's a confusing step as a complete newcomer too

You shouldn’t have to do this step as a newcomer.

Yeah true. I suppose it's unclear. There are fields to fill and you might assume you have to fill them lol. I'm a bit dim tho. But that's how I saw it.

It's p normal to have mandatory name, display name or whatever on an app. Weirdly on nostr all this is optional, including the nip05. Suppose they can all have '(optional)' text on those blank bits ¯⁠\⁠_⁠(⁠ツ⁠)⁠_⁠/⁠¯

I think NIP-05 are still useful, even if not mandatory at all:

1) They enable to quick search someone without sharing a long npub.

2) In some cases they are useful to mitigate the troubles of a key's rotation.

3) If associated with a well know domain (ex. company) they can prove the user Identity.

Having a strong control of the address is crucial, of course.