When the Minecraft characters arrived in Super Smash Bros. Ultimate, players noticed something strange and even a little funny about them, particularly about Steve's winning screen. The Minecraft character appeared holding his iconic tool, but in such a manner that - combined with the angle and the cuts in the image -, it resembled something more... intimate.
The jokes and memes soon followed, of course, but Nintendo has now fixed the embarrassing screen by removing the tool from Steve's winning screen.
This correction came with update, 9.0.1., which also fixes other situations related to the Minecraft characters, such as opponents crossing the blocks they build.
Thank you, Vooks.net.