I see a lot of consternation that Farcaster will 'die' though unspecified means because of the wallet strategy. This is not only wrong, I'll argue the opposite is true. Wallets are like invertebrates that can survive nuclear fallout.
@myetherwallet is the first Ethereum wallet and is still around: Why? Because there are fees to be made through swaps and DeXes will exist in some form probably until the heat death of the universe.
Consider the opposite case: Bluesky. Bluesky currently has growing server bills, zero ways to pay for it, and a userbase that hates the founding team & has already pledged to never financially support them.
What I will say is that ATProto people are on a spectrum of ambitious to borderline arrogant: they want to rebuild the entire world on the ATProto stack, including replacing SMTP email (probably not going to happen), but ambition gives people hope of escape velocity. OTOH, I can already see Bluesky following in {Diaspora, Tent\.io, Mastodon, Identi\.ca}'s footsteps, namely: good vibes will pay the server bills. A wallet is less inspiring but it's also infinitely more pragmatic and likely to be impossible to kill even if everyone at Merkle left tomorrow and sold the org: there's fees to be made somewhere.