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Honestly I think I'm going to be more active on the site because of this.
I had bad impulse control about spending my money on sparklies I saw in the trade forum. Then I'd get bored and sell things for quick cash and go inactive for awhile. Rinse and repeat. Now both those options are gone, so my activity will probably be more stable.
And I never really liked how some people used this website as a business... it seemed weird to profit basically off the mod teams hard work maintaining the site. And some people made some serious bank, and you're right that it probably went untaxed in some cases.
So yeah. I see why a lot of people are upset about it, and maybe a small warning before it went into place would've helped a lot of people, but I personally am okay with it and understand the reasoning completely.