We now know more of what the newest Switch update does thanks to Dataminers. As it turns out, there have been a number of new words banned,

The list includes:

 

– “coronavirus”
– “covid”
– “KKK”
– “slave”
– “nazi”
– “acab”

In fact, when attempting to create a username,  if one tries use the terms above, they will get an error message and be told that the nickname cannot be used.

Source