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Did you look at the screenshot? The small, greyed-out “Sponsored” text is quite small and everything else is identical to a real listing.

Really is a dark pattern. Especially given that the purpose of the list is to avoid unwanted/unneeded items. The user is already doing the work of directing purchases to your platform already.

Not cool.

Check the screen shot, it's not just an ad, they basically added a sponsored item to the baby registry without telling you. This almost guarantees the purchase of this item because it fools your friends to think you need it.

If this is not shady, I don't know what is.

They can easily create a section called "You friend might also like:" and show sponsored items there.

Yes, don't inform others of sleazy practices, and especially don't lobby for legislation to curb corporate abuses. True power lies in acting as isolated individuals.