That’s a good question. Based on my research about the fediverse (the only close approximation to Nostr) whoever manages the servers that host and distribute content are legally liable in a variety of ways.

I linked this at the top of my proposal because it’s helpful context: https://www.eff.org/deeplinks/2022/12/user-generated-content-and-fediverse-legal-primer?ref=gregwhite.blog

The western world generally adheres to this regime of who is responsible for the distribution of illegal content. China is far less permissive, so I’m not sure if there’s any point is trying to satisfy their legal demands.