Why I have no proof, I feel like the fact that Megaupload wasn't in the US prevented them for using the correct legal loopholes that could have kept them aloft for long enough to grow to a size where they could settle these types issues out of court.

I don't know seemed to me everyone was using Mega for piracy...

The file lockers that pirates use today operate under the radar. The owners don't do interviews and they use crypto.

What's file lockers? Do you have examples?

He knew that and talked about and used alledgedly illegal files. He should just not do the drugs himself and fire everyone who eats from the forbidden fruit and he would be fine.

Spotify did illegal stuff in beta, but they fixed it since then. Megaupload never cared about the law.

Compliance and capital vs. defiance and disaffiliation.

Devil is in the details. Teenagers tend to appreciate things that can seemingly collapse a complex topic into a binary black and white thing. The real world is nuanced.

Dropbox actually took action on shared files if piracy was reported. Megaupload made systems that faked they took action.