I don't see the issue - the creator is reserving the right to create their own paid hosted version?
This software is source-available. Open Source licenses don't discriminate on the basis use of the software.
Using the term Open Source for license like this is dishonest. It seeks to profit from the goodwill from actual Open Source software.
We make the consensus reality. I'm part of the faction that wants this particular reality, so I advocate for it.
Explain to me how that doesn't prevent commercial use? Are you going to say "well technically it doesn't prevent it"? No one cares. Commercial projects avoid GPL like the plague.