Quote - So if having nude thumbs makes the place look like a porn site then doesn't having thousands of nude images in the archives make the place an actual porn site? So why not just get rid of the nudes altogether?... ah right, that would mean a massive loss of revenue so that wont happen.

As already stated. This change only affects thumbnails and only thumbnails that are placed after the date of the policy change. 

This policy change does not have an affect on the actual images uploaded to the gallery, just the thumbnails.

http://www.renderosity.com/news.php?viewStory=13431

http://www.renderosity.com/news.php?viewStory=13472

You can keep posting your nudes just the way you have been.  However, you are asked to take a more subtle  approach with the thumbnail and not include nude bits in the thumbnail.

"It is good to see ourselves as others see us. Try as we may, we are never
able to know ourselves fully as we are, especially the evil side of us.
This we can do only if we are not angry with our critics but will take in good
heart whatever they might have to say." - Ghandi