SyStem, with all the love and the respect for you as a person I think that you should understand as a mature man that the punishment was fully deserved. At start, I did support to let you off with an official warning as we all deserve another chance but after a discussion with the whole staff team I came to conclusion that from me it should be a full demotion.
What you've said is not acceptable in most countries and could get you in some serious trouble as the guy can legit feel threatened as I think the individual in this case felt.
If I were to know that a grown man spoke like that behind my back and wish that I die in hell, I'd probably just straight up leave the community and therefore I actually belive an apologies should be made.
SyStem, no one hates you here and you should understand that but some of the actions that you take are poor and honestly make people to have a dislike towards you as a racist and careless person.

The whole situation seem questionable for a mature guy who is your age. Hopefully people forget about what happend in a couple of weeks for your reputations' sake.
I'm sorry but you should understand why the decision to fully demote you has been made.
Next time just make sure to actually apologize to the individual straight after such thing happens and not when the whole community already knows about it.

My own opinion is that you should just go for TS staff in a couple of months.