Spammers, trolls, and ban evaders often use temporary email addresses. PieFed now checks a list of known temporary email providers and displays a warning icon next to registrations that use such services.
If registration mode is set to "Open" (no approval needed) then the site admin(s) receive a notification instead.
A throwaway email address isn't always a bad thing but it's one factor that admins might want to take into account.
That's exactly what it does.
What does it matter if there's a place to apply for an account if I can't use it? Better not to exist at all.