I guess they were relieved they didn't need to go through the hassle of explaining tor nodes to the people that complained to them. Tor and VPN were originally designed and created to protect larger networks, such as government agencies or corporations, by encrypting their secret and personal information and messages for complete privacy. The ISP thanked us for turning it off and didn't ban us or anything. Both VPN and Tor will encrypt and protect a user’s IP address from being known to interloper’s eyes. When we got the letter from the ISP we apologized and I think explained that we had been running open proxies for research purposes, and that we no longer needed them and were turning them off. When the hosting facility did eventually get called, the complaints were that our server "has been making illegal exploit attacks against remote hosts on the Internet". One past report suggested 23 of Tor exit nodes were engaged in a 2020 malicious attack on cryptocurrency users, and 4-6 may still be involved in the same campaign. I guess the worst stuff is probably https or some other encrypted tunnel over tor so even an exit node can't easily spy on it. Another decent amount was password-guessing. A lot (I think most measured in bytes) was rather vanilla porn (dunno why - perhaps from people at work, or maybe from countries where most porn is illegal). Most of the traffic (measured in connections) was attempted banner-ad click fraud. I ran a tor exit node (and an open HTTP proxy) for about 2 weeks on a cheap hosted server. It's actually kinda fun to run an exit node and log the traffic that goes through it. The reason it provides more privacy than a VPN is that your encrypted traffic goes through at least three nodes.
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