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But as soon as money is involved you kinda have a responsibility towards the players who now are customers AND the people who you work with. Annoying questions arise like: "At what rate should new content be produced?", "Who should get what percent of money?".
It's very understandable you wouldn't want your passion project to be bogged down with these considerations if you have already a different job.
1. Japanese companies and Japan in general treat copyright VERY differently; they have no Fair Use clause. Fan works are a legal minefield with Japanese companies, far moreso than in the West; money would exacerbate that. (I know Holo contacted him offering payment, but he also refused because of the next point)
2. It's the dev's passion project that they want everyone to experience regardless of expenditure, similar to Dwarf Fortress (DF is free on Toady's site)
3. Money could create an obligation to take investor requests. It being free offers the dev absolute creative freedom. Not to say they don't take feedback, of course.
4. Being free with no microtransactions is itself an advertisement that will reach anyone who has even a passing interest.
https://www.gamesradar.com/in-2-weeks-this-free-roguelike-has-cracked-steams-top-50-all-time-best-rated-games-but-the-dev-refuses-to-make-any-money-off-it/