Some of it was the latter. Matrix servers could be used in the past to store and serve unauthenticated media to anyone[0], which was described by the team as "not great"[1] and "abuse of Matrix as a content distribution network" [2].
I believe the team was prudent in being reserved about describing the issue (and the abuse it could entail) until after these changes rolled out in 2024[1], especially due to the unique challenges they required (including putting a freeze on unauthenticated media as part of the upgrade process).
Former, I think. It involved highlighting all users of the room, and sometimes verbal abuse against Matrix and/or the projects which the rooms in question belogned to. Now that sort of abuse is much harder, since they have improved spam filtering.