People see "#" and think #hashtag - but I agree with the criticism of using email-style addresses for NIP-05 (and lightning addresses, for that matter).

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I agree that the hashtag is not optimal, but unluckly the keyboard ascii subset is limited, and we need a characters easy to type.

Maybe with the user prefix the perception is different.

The alternative is a double char, e.g.

user!!domain.tld

ยง

Nice, but qwerty USA keyboard doesn't have it.

does Shift + Right Alt + S work?

Not exactly an easy combination to type :)