Yes, it did. As federal law prescribed. The court case and charges are quite clear.
We can absolutely agree or argue that it shouldn't be illegal to run a website like that, but it was and is.
If I run a website marketplace for ceeps to buy and sell child porn, it absolutely would land me in jail for violation of many laws. No matter if I only had trading in USD, bitcoin, or shells.
Let's not act like he didn't break federal law. Instead let's try and get 'marketplace' type laws changed.