Well in this particular case I think it was massively abused when it went live. I had hopped on a path of exile stream I watch occasionally and the streamer had stopped playing and was chatting about what was going on over in the art section. Apparently it had been 24 hours of non stop dog penises and child porn.

Twitch wants titty money but also doesn’t want to look like a porn site.

That’s all.

If I had a guess, the advertisers threatened to pull out.

Probably just the law of unintended consequences in action. The company has some intention of what it wants to happen, but there’s no way they can enforce the decision after they open the floodgates, so they have to roll it back.