id suggest doing some real brainstorming on this. i will too. if you already went directly to "we want what mls does" you have to realize its cutting edge cryptography and im not aware of *any app where it is in use because it is do new.
signal, simplex etc etc, they ALL use the tried and true 'unscaleable' ways, much like nip17. good for small group, not good for large.
so... there are some middle grounds i think, but, all the fancy stuff like forward secrecy, or users joining the chat and being unable to see the history and stuff like this, i think may be far fetched and possibly not even wanted. (many complain they cant see the history, discord doesnt do this, do you consider discord a private chat? many do.
this is why its worth, thinking further.. take the time.
also, in an effort to describe my thought patterns here. nip42 auth, and a relay, .. can control read access to a relay. maintain a list of people that can do this, if they take and republish all the notes.. then what? is it a problem?
if so, then maybe people dont want to use their 'main key' in the group, for plausable deniability, right?
the thing about nostr that is different, is the signatures and the portability. so privacy in a sense, is more scary because.. you signed an artifact that is portable and have to trust your group not to leak it.
this is where atlas shrugs and im not sure what it all means.. do we just stop publishing signatures or some other tricks? maybe. but then trust inside the group falls to the relay or community admin.
tombstones are your friend
they identify the content, without revealing the content, and specify that the content is DED
and further, step outside of the dumb relay mindset, and think about a chanserv bot for this situation. it can keep tombstones of deleted data for a long time, they are not big data compared to what they refer to, and nobody can republish them
#realy already uses tombstones... i haven't written the GC for it yet but they already have timestamps
RIP
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