Before we go off-topic; I have no intention to defend the Seal Cub Clubbing Club, though I find it hilariously unique and funny and therefore would condone this and the quest, but this debate is whether Blizzard sometimes applies double standards. Both names are crude and funny at the same time. One is provided more context by their quest contents, but at face value they are equal. To me, that's the end of the discussion, since this is about names and their legality. Twogender does not imply the player has two genders. It's simply a jest.
In the larger scheme of things (tin foil hat, though slowly crawling to reality), it's part of an increasing movement across the internet, by major companies, to reduce the amount of offensive content (obviously guarded by people that are ultra-left). I don't find it odd that he was forced to rename by Blizz, but I am surprised by the (temp?) ban. That mostly triggers me to suggest that GM's have individual standards.
Yeah, it's pretty annoying this is a thing, but due to that, those politics exist now. We live in an age where we even support the ultra-retards, out of fear of hurting others' feelings. I believe Google calls it micro-aggression. I cried a little.