I'm a part time maker and purchase a lot of designs off of Etsy to make into physical goods. I have to weed through so many AI images when purchasing designs off of Etsy now. I wish they required users to indicate if AI was used to produce the image so I could then filter them out.
It's currently optional for sellers, Etsy says "This info won’t change what buyers see for now, but will be used to improve the shopping experience in the future."