In general, I'd agree with you. I prefer server side programming. and I have this type of client side... but when you start looking at authenticating with Nostr server side... its not straight forward without high level of trust. if you think of a server token without the private key, you'll need something on the client anyway. I mean, if you do make a good server side login auth system that works with the browser extension and its secure. I'll be happy to look at it and try it.

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