I don't really know if he has, I'm not up to date with the news from him, but if it was just reset to normal flags then it'd at least give players an easier time. I just feel, given people are mostly here for porn, telling someone (as an example) "oh, you picked this, now 90 updates later half your friends are dead" feels like a bit of a slap in the face. Sure, the game has the death of friends, it has bad ends, but it's all 99% avoidable so far (with one obvious example). The finality of it feels a bit too tonally heavy, a sword of Damocles dangling overhead to skewer some character we ended up growing attached to.
I mean, I have nothing wrong with persistent flags, I've toyed with the idea before (I had a time loop RPG idea at one point which used several). But yeah, definitely not ideal for a horny game which is far from complete.
Now, I don't disagree with this, it is kind of too punishing to have one of the choices be permanent without any (explicit) warning, and I don't really remember if this has been changed at all. But during the first playthrough it is a really cool feature, and it fulfills the purpose of freaking the player out, since Nameless is supposed to be rather menacing and scary (the first time it showed the red eyes in the darkness, it was legitimately unnerving). So I'm kind of conflicted, because, as a player playing through a porn game, it is kind of annoying, but it also works for the story the dev is trying to tell.
Anyway, I do kind of wonder how important the choice will be in the long run. Iirc, during the meeting with Nameless when you're camping with Groth, the player can change their alignment as long as they didn't pick one of the extreme choices the first time. So there could be more opportunities to wiggle out of the consequences in the future, too.
It also doesn't have to end with a bunch of characters dying permanently. I think that, at most, the extreme choice to kill Nameless will lead to someone dying, but hopefully there will be an opportunity to influence it when the time comes. It would kind of suck if it was completely set in stone, as my current theories are that
Bernard is Nameless and
Rose is the Witch (I actually have a bunch of characters in mind but these would have the most impact when revealed), and losing them would be pretty huge.