I think you're misunderstanding what he is saying. I believe he is saying other people have projected their hangups ("top down enforcement in new social norms") which has caused casual nudity cease to function.
And you're saying in Europe people haven't projected sexuality onto nudity, therefore it still works. So you guys are saying the same thing.
> As soon as there are homosexuals or people who want to be perceived as the opposite gender involved, the social contract which made casual nudity work ceased to function.
> I would not want to be nude in a changing room with homosexual men or women.
It’s funny: unless they very rarely go to a public changing room, they likely have disrobed in front of a non-straight person. Likely several times, and presumably without incident. The baseline prevalence of queerness in the world is simply not that low.
And you're saying in Europe people haven't projected sexuality onto nudity, therefore it still works. So you guys are saying the same thing.