Something big is happening, as Reddit seems to have purged literally every NSFW sub they know. Reason is always "unmoderated" despite some of the banned subreddits being fully moderated.
Edit: seems to have been a bug in automation (thanks @lefty7283@lemmy.world):
https://old.reddit.com/r/ModSupport/comments/1ii67mt/_/mb3fewv
It's still a good reminder on how quickly a community (or communities) thousands of people enjoy and in some cases rely upon can disappear.
I think when people talk about an instance allowing NSFW or not they mean pornographic content.