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Usenet just encrypts the connection from you to their server, they can see perfectly well what the data you download is. They aren't prosecuted because they claim ignorance and that they're just providing you network access, which is why usenet providers that specifically advertise for piracy have been shut down. This is also aided by usenet not advertising what you're downloading (unlike torrents), so it's hard to send a dmca claim.
See https://www.vitallaw.com/news/copyright-c-d-cal-perfect-10-failed-to-establish-that-usenet-service-provider-did-not-qualify-for-dmca-safe-harbor/ipm013b319a047bc91000b319d8d385ad169401 for example, whereas old usenet.com actually provided indexing too and got shut down for it https://arstechnica.com/tech-policy/2009/07/judge-throws-book-at-usenetcom-in-riaa-lawsuit/
(I'm a happy long term usenet provider too)