I totally agree with you. The real story here is that a large player in the internet (self proclaimed "World's #1 Domain registrar") crossed the line--to the "good side", therein lending more power to the cause of stopping this thing.

No, the "good side" is opposing censorship and DNS filtering.

Read what they wrote:

Go Daddy is no longer supporting SOPA, the "Stop Online Piracy Act" currently working its way through U.S. Congress.

"Fighting online piracy is of the utmost importance, which is why Go Daddy has been working to help craft revisions to this legislation - but we can clearly do better," Warren Adelman, Go Daddy's newly appointed CEO, said. "It's very important that all Internet stakeholders work together on this. Getting it right is worth the wait. Go Daddy will support it when and if the Internet community supports it."

They are explicitly just backing off on this specific bill with the intent to do it "better" in the future.

GoDaddy sounds to me like they're reaffirming their support of the principle of DNS-based censorship and the domain seizure practices they currently participate in.

But what is the outcome? In what way does this undo the damage? They submitted a letter of support, and I presume money, to Congress. A post on their web page does not take back any of that.

Good questions. The letter of support is negated, fair to say. Anyone know about money?