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Do people actually read down this far? <-- good spot
Registration is free, you get paid on that. The surfer is not charged anything. From this point they can choose to upgrade once they are inside the "free" members area, which has free porn/upsells. You may get paid on upgrades or sales through the newsletters, confirm that with them.
This would not produce chargebacks, refunds, or pissed off members, it's not new. One of the largest sites on the Internet does exactly this.
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