Yoship said it was fine between consensual people in private.
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Everybody ingame being 13 years old WOULD explain why the general player base is so bad at this game.
Example 2
In the case of role-playing involving mildly sexual expressions (such as erotic role-playing) with a consenting group of two or more players, if it is conducted in a private area, it will not be considered a violation unless a report is made.
Not a lie, this is from their tos document.
Source? Because I call this another lie.
Yoshi-P has a whole legal team watching his every action, saying something like that would mean having a lawsuit on their backs soon as it would not only be against the current game rules, but against the law of most countries.
Just ignore it like I do.