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You're totally right about calling characters "OCs." I feel a lot of independant characters who have characters that aren't part of an overarching story and are "just their little blorbos" tend to call them OCs which feels like they don't respect their own craft
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we can't play fanwork creators because copyright is overly pervasive to the point that it ruins genuniely transformative creativity. people are more OK with selling physical art good because there is a long tradition of it. until a tradition starts, it's hard to break the current social convention of copyright, i think