If they're asking you to do work as an exercise to see how you think, that's one thing. But if they're asking you to do work for free that they would otherwise pay someone to do? Probably illegal.

You're worth more than $58k! Ask for a raise.

No, you can't.

Are you a paid or unpaid intern?

I agree. I feel like child porn didn't kill your app -- lack of uptake did. Had you been dealing with an active and excited user base, you would've figured out how to deal with problematic content. Popularity and abuse go hand-in-hand.

Very cute!