PokeMMO does not include any game assets itself. It is also not an emulator but its own engine. You’ll need to obtain the ROMs from elsewhere and place them in the appropriate folder so that the PokeMMO client can extract the files. In many countries it is legal to recreate a game as long as you do not use any code or assets from the original. The player is the one committing copyright infringement if they do not dump the ROM from their own cartridge.
I see. What about modifying a memory of a loaded ROM with like hex codes? Is that what PokeMMO is doing as well to change gameplay like show another player's location and inventory?
>if they do not dump the ROM from their own cartridge
That is a common myth. It can even be more illegal in the case of DS games as you also break the DMCA by circumventing the DS's protection scheme of their games.
Nintendo is probably THE most aggressive company in the industry in terms of going after people for using their IP in unauthorized ways. They don't have a blind eye.
I am p sure Showdown only still exists because it would crater their official VGC league if they'd shut it down. And with Champions out now it is slightly more likely they would go after it, but they know that it isn't possible to iterate and test teams as fast in it as it is in Showdown (and I doubt they plan on changing that considering the limitations seem very intentional).