Etsy mandates real photos and bans AI guides
Etsy AI policy now forces sellers to include at least one authentic, non-AI photo in most listings and bans AI-generated guides, emphasizing real craftsmanship.

Etsy is updating its policies on AI use to emphasize craftsmanship, requiring sellers to include at least one authentic, non-AI generated image in most listings. The online marketplace is cracking down on AI use in product listings, mandating that most listings include an unedited photo of the product against a real background.
Functional guides, such as patterns, recipes, and instructions, can no longer be AI-generated and must showcase real results made by using the guide. Buyers who open cases with Etsy because the product is materially different than the listing may receive a refund from sellers if the listing didn’t meet Etsy’s updated image requirements.
Etsy’s Vice President of Customer Operations, James Ossman, stated that the company has always been a marketplace that stands for creativity and craftsmanship. He added that these changes are a starting point, and they will continue to evaluate their policies, expand proactive enforcement, and build tools to help sellers demonstrate authorship as they listen and learn from their community.
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In addition to the updated listing requirements, Etsy has added a guidance feature to the listing form that flags images it detects may use AI. The marketplace is investing more into AI detection and listing removal tools, with plans in the upcoming months to explore more ways to give buyers helpful context about when AI has been used in content they see on Etsy.
The move comes as Etsy itself has invested more into using AI across the business. CFO Lanny Baker told analysts during an earnings call in August that the company has been spending more money on AI and compute. Despite the new limitations on AI use in sellers’ listings, CEO Kruti Patel Goyal told analysts that the biggest opportunity for AI is on Etsy itself, using it to connect buyers with sellers and improve discovery and personalization.
Etsy uses AI to better understand what buyers are looking for and to surface the most relevant inventory from its marketplace.


