But it wasn't illegal to put up a NSFW game if sold to a adult.

Were Steam selling it to kids?

How would Steam know?

And yes, that's a problem that they're dealing with right now. Bellular News : Steam Faces Financial Obliteration: Others Are Already Dead https://youtu.be/AlDkL3DndtM

The law being talked about in the video is https://en.wikipedia.org/wiki/Online_Safety_Act_2023 / https://www.gov.uk/government/publications/online-safety-act...

That said, not all NSFW content is allowed in all jurisdictions. Australia and Japan (for example) have laws about particular content that differs from US laws.

It is if it includes things like rape, which supposedly was what was removed.

https://en.m.wikipedia.org/wiki/List_of_banned_video_games_i...