There always has to be a handful of miscreants trying to get a rise out
of people with shocking, parodic or otherwise outrageous character names.
While some of these names are more or less just goofy fun, some of them
cross the lines of good taste and common sense and are just offensive.
ArenaNet, the company behind Guild
Wars 2, deals with such offensive names (and inappropriate
chat) by issuing a 3-day suspension and requiring a rename once the
suspension is lifted.

In a Reddit post, ArenaNetSupportTeam defended the company's policies and
clarified the company's stance on bad behavior:

We want to clear up some of the confusion about GW2 name and behavior
suspensions. To keep Guild Wars 2 a pleasant place to be, we take action
against racist names, hate speech, and other unacceptable behavior. We
have suspended some accounts involved in the use of offensive character
names or inappropriate chat. The number of account blocks is miniscule:
less than .001% of our total player base.

When an account is blocked for a chat offense, the account is given a
three-day suspension. When an account is blocked for an offensive name,
the player is required to rename the character name and, in most cases,
the account is also given a three-day suspension.We have reviewed all
the name suspensions currently in place.

Where we could give some leeway, we removed the account suspension,
which will allow those players to rename the character and rejoin the
game. However, for substantially offensive names, we will keep the full
three-day suspensions in effect.

In a few posts on Reddit and on fan forums, players have claimed they
were suspended for using a harmless-sounding character name, when in
fact they were suspended for a different and truly offensive character
name on their account. Others claimed that they were not told why they
were suspended, but the game does give a message that states the reason
for the suspension. In every case we have double-checked, the action
taken on the account was appropriate.

Reading through the comments on the Reddit page, one can find some rather
amusing examples of people asking why their blatantly offensive names or
horrible rude behavior in-game got them a 3-day ban, and
ArenaNetSupportTeam spelling the reasons out in black and white.

Source: Reddit