You're getting hung up on definitions, so I'll(again) make it simple for you;
There is right and wrong, ethically-speaking. I won't venture to say what "right" is, but I will say that it's wrong to cleverly and purposefully disguise your MUD to appear to be 100% free to most gamers, by using terms that gamers are used to seeing in only 100% free MUDs. If you are willing to use a pay-for-perks model to achieve profit, have the decency to call yourself a "free-to-play, pay-fork-perks MUD", instead of trying to hide it in the back of your website's pages. Also, if you are willing to use the model, don't throw around threats and run intervention when the community calls for MUDing resources to easily identify pay-for-perk models on their resource-lists, which is a tool that should be available for any gamers to use in order to make the best choice possible(for them).
You can argue against the analogies by getting hung up on definitions, but you can't argue against the energy of the argument, which is to improve awareness community-wide for all players, allowing them to know exactly what kind of model a specific MUD is. What's there to hide?
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