Don't force users to add a profile pic at sign up. Use whether they add a pfp later a signal as to whether they care enough about their app identity to add one.

This is bad advice.

Most consumer apps (and users of consumer apps) thrive and survive off of UGC.

PFPs are the easiest way to begin seeding UGC and leave a good first impression on subsequent users.

Initials and other defaults aren’t good enough.

It also asks the user to invest in the app, which is a good thing.

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Of course. In typical blanket-statement fashion, I’m assuming the context of conversation are true consumer apps, not utilities. 

But also, the real answer is to build on open social graphs like Farcaster and not worry about the additional friction during onboarding.

Depends on the app I think

If you're signing up for a personal to do list you won't care about a pfp as it'll never appear unless you share your lists or smth involving social interactions