This is essentially how Coinbase is allowed to operate - it doesn't have whales on its platform, just millions of KYC'd minnows who are individually low risk.
Illegal activities are only a problem if law enforcement makes it their problem, I don't think there is a case where law enforcement went after the payment provider for facilitating transactions for illegal activities, it is website/marketplace responsibility usually
> Illegal activities are only a problem if law enforcement makes it their problem
And now this is where AML kicks in. Now you're dealing with banks and not credit card processors as the source of the issue. No US bank is going to work with a company who is converting money from crypto to fiat at the level of billions of dollars.
Exchanges are doing pretty well to convert USD to say BitCount, despite Bitcoin's unsavory reputation for illicit/ illegal transaction like ransomware payments that actually happen on the coin. Even single transactions in the millions barely register these days.
I am not sure porn as an industry earns in billions and even if it did the market is today large enough that it won't be sticking out all that much.
> They can't because then KYC kicks in. This is exactly the problem with crypto at scale.
Isn't KYC only a problem for people trying to hide their income? Onlyfans (and other legit businesses) would not have this problem as they would not be trying to hide their earnings.