I'm probably going to get scolded or quoted for this, but I think Steam handled this the wrong way. I may not approve of the Dev's game and it looks like it's meant to be erotic but I think it should of been allowed to stay on Greenlight and get discussed rather then just flat out removed and Valve (well not attacking but) getting on them with these rules of conduct. I would like to know how it was overall offensive and why like someone said, The Witcher 2 is okay and though it's not focused on erotic stuff- it has perhaps way more sex and breasts exposed then this game has.
This reminds me of that COD celebration where they invited a porn star, but then declined her invitation because heaven forbid the porn star make an appearance at a place where it's to show how many enemies you can gun down in a war-based game. Violence gets leeway all to much without people realizing it's as brutal or questionable as erotic stuff, even if it's mild teasing so to speak. You can do better Valve, you don't have to accept the game but don't freak out on us now.