> It's an absolute shitshow, a media exposé waiting to happen.

It's already happened. In the UK on Channel 4 at least: https://www.channel4.com/programmes/inside-the-metaverse-are.... It shows many of the incidents you've described. Including things that you probably haven't experienced (the player was a black woman, so you can imagine what she experienced).

That’s bad. However none of the issues they have are unsolvable. Just add EAC and provide an official mod api through a workshop or launcher. Creating a healthy eco system of moderators is doable as well.

> running around in nude avatars with giant ejaculating phalluses

I can kinda see how this is fun the first time, or in a very specific age range, but I think the novelty would quickly wear off.

Why would they ban their primary userbase?