this post was submitted on 16 Jun 2025
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It is a bit counter-intuitive but restricting new signups will not help them much. The way the matrix protocol is designed, i.e. replicating everything on every server, means that clients connecting to their server have only a minor impact. As long as most rooms of the entire matrix network are replicated on the matrix.org homeserver their costs will stay high and there isn't really much they can do about that other than shutting it down entirely.
Is this a dealbreaker for people though?
There is not much they can do about it short of shutting down the entire server. Due to how matrix functions internally any sufficiently large federated homeserver replicates most of the entire network.