Ok. What do we do about it?

As an IT person, this situation always seemed inevitable. Even before AI, software becomes better, with more features, and easier to use over time. It's the natural progression of things. There's hiccups here and there but the arrow of time always moves the bar forwards.

You can't stop the software from existing. That's like trying to make water not wet. It's just bits that are easily copied or re-created from scratch using the knowledge that now exists everywhere.

You could make it illegal to distribute fake nude (or nude-ish) photos of people without their permission but that won't actually stop this. Because anyone with a GPU can do this using local software (AI) running on their PC and people will just upload the images to a server in a county that doesn't have that law.

This isn't a technical problem. It's a human problem. You can't fix human problems with technical solutions.

I don't think there's a fix. We're just going to have to live with it. Just like we live with other things we don't like.