IIRC, they open themselves up to legal punishment if they push a false DMCA claim after the target files a counterclaim, which (along with the bad press) is probably why they dropped it.

Sadly this is about as good a system as we’ll likely ever see - at least there’s some hope for falsely struck projects (even if many don’t counterclaim as it opens them up to legal action). I have a feeling any replacement system would be far more stacked in the industry’s favor.