Does this include websites for drugs, CSAM, human trafficking, or other criminal activity?
If those are real world criminal activities with real world impacts, you should go after the perpetrators instead of playing the shell game with websites.
You can't make violent criminals disappear by sweeping them under the rug.
[1] ignoring how you'd anonymously place/respond to the ads
Hiding the crime from public view doesn't make the crime go away.
They are? You just pay $100 (or whatever) and it gets posted. The only curation that might happen is the fact that a human probably has to manually insert it into the draft, because the newspaper hasn't developed proper automation for this sort of stuff. Moreover this is easily side-stepped by replacing "newspaper classifieds" with "ads stapled onto power poles" or "ads placed online" (in which case it probably is automated and there's no human review).
If someone did copyright infringement (according to your country) on HN (which almost certainly happened), how do you feel about your browser suddenly telling you "There is no such thing as HN!", while the site is doing just fine?
That just seems like nitpicking over the blocking mechanism. Your objections might apply for DNS level blocking, but not for SNI or ip blocking. Moreover DNS level blocking is far easier to bypass than the latter methods, so your objections against DNS blocking (because it's "gaslighting" or whatever) actually would force the government/ISPs to employ more effective blocking technologies.
