Is this the law now, "potential" harm? Who decides that?

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It covers all social media, indescriminately.

That means X, Facebook, Truth.Social, Rumble, BlueSky, Instagram, Fediverse, Discord, WhatsApp, interactive websites, anything from a Nostr-utilizing company, and etc.

At the end of the covid hysteria, in an interview with Bill Gates, he described the failures as he saw them. Social media being the primary failure due to the spread of "misinformation".

I believe this is the response.

Control what people see.

Control what people know.

Control what people think.