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Both ends can be terrible for different reason
>excessive limitations
Boring, predictable and low-energy content
>no limits
Lends itself for the content creator/streamer to just sit back and do reaction content forever, the option to do it all means they willingly pick the easiest thing out of the bunch if it brings reasonable profit for the amount of work
Realistically? People will always go for the "just react to youtube videos for two weeks, fuck it" route if enough people eat it up and throw money at them. Because why work or do something cool when the audience is ok with the lowest effort possible? But also, much like we see with most of holoEN, having too many restrictions also brings out the "fuck it, do less than the minimum" attitude as well since nothing is allowed and everything gets shut down immediately unless it's heavily sterilized. Coco was too edgy for her own good, there were creative ways to get around the type of humor she likes by merely toning down the jokes, but she's too crass of a person for that and not smart enough to make more clever jokes because she's not known for that.
And while some people may come up with creative ways to go around restrictions, having more restrictions over time basically drains away all motivation to put in effort. In reality, it has to be taken on a case-by-case basis, each case is individual. Not everyone will adapt and react the same way to being restricted or being completely free. Some will give their best when unrestricted, some will only shine when facing a the challenge of also having restrictions.
