this post was submitted on 27 Feb 2024
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AFAIK rooted Switch consoles are used to decrypt the games and Yuzu just tries to execute whatever nonencrypted Switch binary. Unless Nintendo can prove that either the Yuzu developers themselves are behind ripping commercial Switch games or directly colluded with the rippers, they'd have a hard time to actually win. That said, regular people with normal income levels will probably just sign everything because a prolonged lawsuit is about just bankrupting them, not being ruled the win by the judge.
From their own guide
Their guide also talks about dumping games from your console so I'm not sure how far it goes, but if they want console keys they are likely decrypting something