Your rotation widget is nonstandard compared to most other 3D editors. See for example Blender[1] or Maya's[2] widgets (which are both basically the same).
It's also kind of confusing as it seems like pulling one axis' rotation manipulator actually rotates about a different axis. So pulling on X rotates about Z, Y about X, and Z about Y.
I think pulling the pins is fine, but the shape should rotate around the pin's axis. I would suggest associating pulling it out with a clockwise rotation.
It's also kind of confusing as it seems like pulling one axis' rotation manipulator actually rotates about a different axis. So pulling on X rotates about Z, Y about X, and Z about Y.
[1] https://wiki.blender.org/index.php/User:Simtron/Doc:2.6/Manu... [2] https://knowledge.autodesk.com/support/maya/learn-explore/ca...