By keeping him, Bluesky risks harming the community, depleting its goodwill, and losing users, while also sending a signal to others that bad actors and harassers are welcome there.
But by banning Singal, Bluesky could come under attack from the next head of the FCC, Brendan Carr, who is ready to come after social networks he believes are suppressing conservative views. Whatever Bluesky does here will attract attention, for better or for worse.
This is not the first time Bluesky has faced user backlash over moderation issues. The startup strained its relationship with some Black users after failing to crack down sufficiently on hateful and violent rhetoric last year.