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The disgusting manner in which this was carried out, almost in the dead of night with no engagement with developers, consultants, etc, is absolutely unbelievable.

Every single person in charge of this website should step down immediately.  They can no longer be trusted.  Without warning or engagement, they removed the livelihood of a huge foundation of their creators, then offered a limp ass non-apology.  They've shown that they don't give a single damn about anyone that helped make this site what it is.  

It's disgraceful and shameful and this site and creators deserve every repercussion they face for how this was handled. 

I don't think you really are aware what they were faced with. They had a choice - either to comply with a companies that control majority of transactions in the entire world or no developer on this site would be paid (you hear that right, no developer. As much as NSFW part is important for itch.io, that sure was way worse fate). We also don't know if they didn't get a legal letter beforehand. Good luck then when you at best might have a day to act. So they acted fast and delisted NSFW games and deleted those that will be problematic. Those that won't get deleted will come back and they already stated delisting is temporally. They also stated in one of the posts that people will be issued refunds, so they at least try to be fair even if they are essentially in lose-lose scenerio, because people will be mad regardless. If you want to be mad at ich.io and not at the companies that made it possible to happen (and which did already go after  big players like Steam or DLSite), then be as mad as you like, but they won't stop on itch.io. Oh no, they will go for any site that offers even little amount of NSFW content until you will have nothing and then they will go for stuff that isn't NSFW to begin with.  That's why instead of beating the dead horse that at best could inform users few hours sooner, put focus on something useful and spread the word about how transaction processors can just willingly decide what you can sell and what you cannot.