Is this BANNED on Etsy?

AI is everywhere and now it’s taking over marketplaces.  You now see tons of AI-generated stuff for sale on Etsy such as art, templates, graphics, and more.

But the real question is… is this allowed on Etsy?   Let’s dive into this in today’s episode of seller news.

It's kind of a light Etsy news week so I want to cover a hot newsworthy topic that is of course controversial. 

Handmade sellers view AI-generated sellers as cutting corners and not handmade since a computer is generating the stuff.  But that doesn’t mean that it’s necessarily not allowed...

So I put my detective hat on to try and figure out if Etsy has specifically addressed this.

First, let’s just distinguish what I’m specifically talking about when it comes to AI-generated.  You can have AI programs such as Chatgpi generate ideas and content based on questions you ask.  But you still have to use this information to create the end product.  So more or less you’re using it for research purposes and are still creating the product. I don’t think there’s anything wrong with using AI this way and I don't believe it would violate any Etsy policies. 

What I’m specifically talking about is using an AI tool to generate images that you then simply download and put on Etsy for sale without editing them, changing them, or even confirming if you have the right to use them…  This I feel is a slippery slow and problematic. 

This is what I want to figure out.\

First, I searched the web which is always a great idea when you want to find accurate information you can trust.. lol.

Two articles came up both saying you CAN sell AI-generated art with one linking to Etsy’s policies.

So I went right to the source to double-check.  I went to Etsy's seller handbook.  

And here’s what Etsy’s handmade policy states…

I couldn't find anything specific to AI products, but I did review their handmade policies.  

Based on what I found, even though AI isn’t specifically mentioned, I don’t see how it's not a violation to use an AI-generated product that you didn’t personally design.  And I don’t see how you would “make” the items unless you’re using AI to create a pattern and then make it.  But that seems like it's never the case because I think the goal with AI-generated stuff is less work and a quick buck.

While I haven’t heard of Etsy taking anything AI-generated down, there are a lot of problems with managing this.  First, if the seller isn’t saying it’s AI-generated then it will be really hard to find out, especially if the AI tool is generating original stuff.  Second, if it’s stated as AI-generated on the listing, then is it completely generated, unaltered, or slightly altered which probably would be allowed.  Or is it AI-related content, information, that was completely created by the seller such as ai prompts… ughhh I know confusing…

So maybe I’m leaving you with more questions than answers until etsy specifically addresses this...

I’ll leave you with this...

Don’t use this as an excuse to give up on your shop.  You can’t worry about what other people are doing all the time.  It’s a time and energy such.

If you want your Etsy business to succeed I guarantee something like this won’t stop you unless you let it.

This is just the shiny object of controversy of the day.  There will always be a new controversy on the horizon.  It will not end with this.  Just know this, accept it, and learn to grow a thick skin.  It can only bother you, distract you or impede you if you let it. 

I want to leave you with something to lift your spirits in case what I just said didn’t.   I have a new free guide with tips to help you accelerate your etsy business.  Snag your copy at handmadeandbeyond.com/accelerate.  Start taking action on what you learn.  It’s all about getting better and there’s nothing better than learning and applying what you learn.