Of course this sounds like a joke question, but it's meant seriously.

I remember being told by an old system administrator back in the early nineties about people asking about good FTPs for porn, and that they would as a joke always tell them to connect to 127.0.0.1. They would come back saying that there was a lot of porn at that address, but that oddly enough it seemed like they already had it all. Point being, it seems like it's been around for quite a while.

Anyway. Considering that a considerable portion of the internet is devoted to porn these days, it would be interesting to know if someone has any kind of idea as to when and where the phenomena first arose? There must be some mention of this in old hacker folk lore?

(Changed to CW to emphasize that this isn't about rep, but about genuine curiousity. :)