It is as long as there aren't actual methods of detection outside of people reporting or people exposing themselves. How does one enforce a ToS if there isn't a way to actually know that people are using them without community intervention? If people can work around a system, they will. Doesn't matter if it's against it or not.
Answer:

The ultimate raid series is the most difficult battle content within FFXIV, and we release this content after testing that it can be cleared without the use of any third-party tools. However, if the presumption is that this content will be tackled and cleared with the use of third-party tools, then any reason to develop high-difficulty battle content seems to be lost. It’s very difficult for me to understand as a gamer what the meaning behind using numerous third-party tools to compete to clear first would be.
Said static member was using a zoom hack that they KNEW was forbidden, they streamed it, he got caught by OP and kicked. As it should be. After the recent debacle, there is no way in Hades he didnt know it wasnt allowed.