I've been pretty tolerant of whatever ads Kos wants to run, mainly arguing that whatever brings in the simoleons is fine if site owners OK it.
HOWEVER
There is now actual porn on the site. That's not my subjective opinion, the ad itself calls it porn and it shows three real people clearly having sex. This is too much.
No, I'm not offended--I rarely even look at the ads. The problem is that I read DailyKos from work. I don't want my officemates and boss to walk in and see that image on my screen, even with the black boxes on it. Even if I weren't fired or reprimanded, I could get a bad reputation as someone who browses porn sites at work.
Therefore I must leave DailyKos during the workday for as long as this ad is in place. Some may argue that I shouldn't be reading DailyKos at work anyway. Fine. And if Kos is OK with his hit rate dropping as responsible people are forced to leave, then he can go ahead and keep the ad. All I'm saying is that if you want a diverse opinion and lively discussion, you need to make sure everyone is allowed on the playing field. Right now, people who work in an office during the day are being forced off by a combination of front page porn and sensitive HR department rules.
UPDATE: If you are using a browser that supports it (Mozilla for sure, Firefox I assume) you can right-click on any image and say "block images from this server". That blocks all images that come from DailyKos, so it makes the site kind of ugly, but it still works and won't get you fired. There's also an "adblock" extension for Firefox. Other browsers may be out of luck.