Well, I guess since crackchat is still there, calluna is right. Crackchat is a private chat. Sorta. Even though anyone can join. Privacy through obscurity, maybe. But! If this ever becomes a real problem, it would be neat if we could use Jabber, since LJ gives us Jabber/XMPP accounts on their servers anyway. I think group chat is possible, but I don't know if Livejournal has set up their server that way.
No, you can still start private chats from the client and that's how crackchat is done. It's fine :) What they've cut out is the feature that is official rooms they set up and moderate. Basically, they won't make chats but we still can.
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We'll have to find another service...
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Edited because Google is your friend~
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You know, if the chat room was possible anyway.
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But yeah, LJ didn't enable groupchat, so no room called
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Their wordings are so imprecise, though.