In Europe at least, the law doesn't forbid cookies or mandate banners. It's about tracking and informed consent. It turns out companies love tracking, massively use cookies for this, and chose obnoxious cookie banner dark patterns to request consent.
But there is not such thing as a "cookie banner law".
You probably was in the your tolerance margin to say that.
But I've been to 11 schools, including private ones and ones from very poor and violent places. And there are situation where the only lesson you learn is how much people can destroy you.
There is a middle ground between the cloud and on premise. You can get a VPS or a dedicated server from a traditional host. If you have a running tab with them, which is common for operations like this, you get your servers in a few hours, sometimes minutes.
It's very hard to filter NSFW content. Every site I tried, unstable diffusion, kawaix.com, Mage space, novel ai... They all have some content moderation on (to avoid CP, to keep payment processors happy...), but things leak.
Some are really bad at filtering. Kawaix is particularly terrible at it, because they are new, while mage have upped their game a lot but had many months to do so.
It feels like 2000' again, and it's the wild west.
Plus when you have a horde of teenagers having a whole summer to try prompts from their bed, you get serious pen testing sessions.
But there is not such thing as a "cookie banner law".