Assume the free functor reflects isomorphisms. If satisfy , let be their coequalizer in sets. As a left adjoint, preserves it. Since the coequalizer of an equal pair is an identity, is an isomorphism. Reflection makes an isomorphism, so . Thus is faithful.
Assume is faithful. If , regard as maps . Their free extensions are , and the adjunction identifies these with . They are equal, so faithfulness gives . Hence every unit component is monic.
Pointwise monicity of the unit immediately implies that
is monic.
If is monic, then . The free algebra therefore has more than one element, proving the existence of a nontrivial -algebra.
Let be a -algebra with at least two elements, and suppose is an isomorphism. For every -algebra , precomposition with gives a bijection
By the free-forgetful adjunction this is
For one set with at least two elements, bijectivity of this precomposition forces to be bijective: surjectivity detects injectivity of , and injectivity detects surjectivity. Thus is an isomorphism. The free functor reflects isomorphisms, completing the cycle of equivalences.

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