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Substack says it will not remove or demonetize Nazi content
(www.theverge.com)
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You kinda get into an ouroborus of who has fewer edits, and honestly I don't know how to solve for that, but I do know that if you had substituted "n-word" for the slur it would look exactly the same if the OP edited the comment after the fact. Quoting the slur doesn't mitigate that.
Any policy becomes a problem at that point. It becomes less of a policy and more of a guideline