I mean to be honest I don't think the mute is false at all, whether or not it is entirely fair when you consider every technicality of the situation is another story.

While you may have been talking about the holocaust as "destruction or slaughter on a mass scale, especially caused by fire or nuclear war." the fact of the matter is your future actions and your name all suggest that you are poking fun at Nazis at what occurred during WW2. I personally think its perfectly fine to joke about things such as this however the rules are the rules and your name coupled with you suggesting a holocaust (something generally related to the the mass murder of Jews under the German Nazi regime during the period 1941–5) and also you referencing the gas attacks later on can be and was perceived as being racist so personally I think the punishment was fair and should remain.