Let me get this straight -- a commercial ad-driven marketplace supplies a very substantial amount of content consumed by children and markets it as educational (and/or allows such marketing), parents are not educational experts, and you think it's problematic that the government might see a need to step in, starting with some basic fact-finding?

Nobody is shutting the service down, dude. Maybe we find that nothing is really wrong. Maybe we challenge the company to more appropriately rate content that's marketed as educational, or do better ad filtering, so that parents can make informed decisions. Right now there are pretty clearly no requirements and lots of obviously false pedagogical claims, and parents can't afford to pre-vet all the content their kids might watch (and the marketing tells them they shouldn't have to).

I don't see what your problem is. This is a major new phenomenon facing parents, it's super weird that you think some fact-finding is nanny pearl clutching.