This is becoming a big issue. I've been seeing an uptick of some people getting suspended for the dumbest things. My tank for my group today was suspended for 10 days over absolutely nothing - and a lot of this is caused by the double standard that was set by SE from when Xenos was banned for a clip on Twitch(which is OUTSIDE of FFXIV).
The way this is being abused is that if someone doesn't agree with you or is mad at you, they basically can call the GMs on you for "Third Party Usage" when in fact they weren't using them at all. It makes things difficult because based on what streams have been done by influencers, I've wanted to believe it's a "Don't Ask, Don't Tell" rule among the community for a long time.
However, there have been more and more reports that have caused suspensions in the last few months without viable evidence and they haven't done any wrong. If anything, I want to put out a petition to Naoki Yoshida, the Director of FFXIV and his production team, to update their Rules and Policies in regards to this issue, because it is not explicitly mentioned in the User Agreement.
2.1 Cheating and Botting. You may not create or use any unauthorized cheats, bots, automation software, hacks, mods or any other unauthorized software or hardware designed to modify the Game and gameplay. In addition, you may not take advantage of game system bugs and exploits during gameplay.
2.2 Real Money Trading, Farming and Power-Leveling. You may not sell, purchase or exchange for real-world money or value any in-game currency, accounts, characters, in-game services, or in-game virtual items. You may not play the Game for the purpose of acquiring virtual items or advancement in game play on behalf of a third-party or for the purpose of selling any virtual assets to a third party for real-world money, specifically including "gold-farming" and power-leveling services.
2.3 Commercial Use. You may not exploit the Game for any commercial purpose (for example, advertising any product or service in-game, or use by the operator of a cyber café) without Square Enix's prior written consent.
2.4 Private Servers. You may not create, operate, participate in or use any unauthorized servers intended to emulate the Game.
2.5 Data Mining. You may not intercept, mine or otherwise collect information from the Game using unauthorized third party software.
2.6 Hacking and Circumvention. You may not hack, disassemble, decompile, or otherwise modify the Game or server computer code, whether the Game code is located on a DVD, Blu-rayTM disc, your computer/console or on Square Enix's servers, except as expressly permitted by Square Enix or applicable law.
2.7 Modifying or Creating Derivative Software. You may not modify or cause to be modified any files that are a part of the Game or Service in any way not expressly authorized by Square Enix, and may not make any derivative works of the Game.
2.8 Commercial Spamming/Spimming. You may not use (or abuse) the in-game chat and message services to distribute advertisements.
I will compare these rules to what ACT runs on, which multiple people use for personal use. At most, ACT is a use violation of Term 2.5, which includes Data Mining(this infers to the mining of information of any kind from Final Fantasy XIV). However, Final Fantasy XIV has not upheld this agreement on their side in regards to their influencers and others that stream the use of such programs on Twitch and has been normalized over the years.
What they need to do is follow their own guidelines, but in regards to the report abuse that can be used against people by saying they used Third Party Services, I recommend that they do a proper investigation - however, the problem that shows itself when they attempt such is that they are unable to know on that individual computer whether they are using ACT or mods in that regard.
Instead of assuming that these things are in use, there must be proof shown instead of this idea of 'guilty until proven innocent'.
To properly protect players from Report Abuse in bad faith in regards to Third Party Usage, I recommend that the Final Fantasy XIV Team adds a clause to their policy:
3.10 Abuse of the Report System. You may not exploit the report system against other users, in accordance with Term 3.2 on false grounds. Should the user be found in violation of 3.10, the punishment will prompt action from suspension up to termination from Final Fantasy XIV.
As for third party platforms, they need to write themselves in the User Agreement how they're going to handle it because there is no agreement currently in regards to what happens on Twitch. Any criticism from the community helps, but it's becoming more and more of an issue that the FFXIV Development Team needs to address, if not Naoki Yoshida directly as he did when he went over how their system works when they did a Live Letter one time.
Note: Their User Agreement was last updated on 12/24/2019.