It very much does matter if you're protected by the "safe harbor" provision of the DMCA. The problem is that Kim Schmitz and his team did things, including paying contributors to upload copyrighted material, that forfeited their protections. Prosecutors didn't make this stuff up; the requirements for claiming service provider protections are right there in the law. The prosecution has Schmitz and associates
in their own words conspiring to break the law; they left it all in plaintext email.
This is one of the most virulent misconceptions about copyright law on HN. The DMCA does not say that you are protected as long as you honor takedown notices. In addition to honoring them, you must not have any specific knowledge of infringing use of your service that you fail to act on. If any idiot can hit the front page of your site and see that it's used mostly for piracy, law enforcement will take an interest in you once you get big. If, during discovery, they find email messages showing you conspiring to keep copyrighted material on your site, they'll charge you criminally.