Well, then your post is obviously nonsense to you, just as it was to several other people.
You buy a server, find a coloc facility, pay the price to colocate, plug your server in, host whatever you want, free of essentially all terms of service. That's "hosting whatever you want".
When you can't find another one that allows colocation with a ToS that will let you do whatever you want, you rent a T1 line or better to your own home.
Have you ever heard of a ISP kicking someone off a rented dedicated cable? Maybe it has happened. I have no memory of ever hearing about this in any case where there wasn't prima facie illegal acitivit occuring over the line.
GoDaddy (at least in this instance) is acting as a hosting provider, not an ISP. As a result, they are providing more than just an IP connection, and their ToS are more restrictive.
If you use just an IP connection, you're likely to find that the ToS cover only actual illegal activity.