Illegal content is generally ephemeral regardless of where you host it. I don't think this changes much, it could still provide a good home for some illegal things.
"Immoral" and "illegal" are not logically equivalent. An act being immoral does not make it illegal and an immoral act is not necessarily illegal.
Immorality is extremely nuanced and heavily influenced by society. Eg. homosexulity is illegal in some south Asian countries such as Indonesia, but is not seen as immoral in most parts of the world.
Conflating the two - or preferring the term "immoral" over "illegal" inherently lends itself to allowing people to rationalise illegal activities - such as child pornography as only being "disapproved of by society" (morality being a fairly abstract concept) rather than an act which violates the laws of the land and is officially and formally condemned by the government.
I think you're agreeing with kwitze. It's ok and even desirable for these services to host illegal, moral content but bad for them to host immoral content
I think that's the reason, why this service is not very interesting for illegal content.