Earlier quoted context omitted.
While what you say about bad actors is true, I just don't buy your argument. SV prides itself in solving "hard problems" (whether that's actually true is another issue entirely), so are you honestly saying that the issue with high chargeback rates or illegal content is too difficult to solve? I mean, SV can create advanced electric cars, launch rockets into space, serve millions of queries a second, but porn spam is…
Many have tried; there are a lot of bodies on those hills. Take chargebacks. Not only does the merchant who gets a chargeback lose the money, they're typically hit with a $20-$100 fee on top. It's very common and an old trick to use stolen credit cards, download all the premium content, and redistribute on your own site. Or maybe just because your spouse found the line item on your credit card and you're embarrassed.…
That said this is a situation that is slowly improving thanks to competition. However this is likely going to be a stain on the porn industry for decades after the problem is mostly gone due to the way the financial industry does risk analysis.