It's definitely not Iceland as a whole doing this; Ögmundur Jónasson will probably be voted out before this can come to pass. However, the reason this is a thing at all is because of the "nei ýðir nei!" (no means no!) popular movement in response to increasing reports of rape against women by inebriated men.

Having said that, in my humble opinion, internet porn and the numerous adult toy shops should of course continue to be available as healthy outlets for consenting adults; on the other hand, Iceland's ingrained binge drinking culture should be held up to scrutiny, which seems to be bolstered by the government monopoly on booze not sold in restaurants nor bars.

Internet Says Elton John already Destroyed Music

You could have at least been a more succint in your sweeping generalization. Well, more specifically, the "T" in GLBT. In what specific way is sexuality implied, if I were to state that I am transgendered? It would be shallow to assume that sexual activities and discussion thereof would be the focal point of conversation and membership within Oz, and would ignore and discredit the core personalities of the members of the guild.

That said, I believe it is easier for a gay person to be affectionate with another gay person, not necessarily in a sexual or particularly involved way. I'd rather keep discussion of who people like to boff separate from a more dedicated gaming scenario.