This is a horrible invasion of privacy. Still, iCloud getting hacked is a bigger deal than celebrity noodz. If you had any private data on there, yikes...
I have iCloud storage and backup set to off. If I remember correctly, photos were originally defaulted to back-up automatically but you had to manually delete photos from iCloud even if you deleted it from your phone which is probably why I turned it off (e.g. too lazy to organized yet another thing). Even if my iCloud backup was on and anyone was interested in rifling through my stuff, it'd just be hundreds of pictures of my cats. Still great, but nothing scandalous.
In any case, while this whole situation is a colossal failure by the human race, calling it "The Fappening" is still pretty hilarious.