Yes you can say it is caused by culture difference, and I believe that you don't take offense on that. You are from Finland, but the DOTA2 pro players who said Cword in games are actually Asians. Asians all know what the word means. At least I am sure that people from SEA said this is to insulting(cuz this always happens in pug games, though no one will give a fuck about normal persons talking shit).
The point is, if this word is racist is not defined by you boy, that's why I typed this to explain to you.
If this word was not racist, that LOL player who said this would not get a ban, and the DOTA2 player who said this would not get fined by his club. Notail(a great dota2 player from Denmark) , reso1ution(a player from Ukraine )and some other Dota2 players also commented this as a racial discrimination incident. And now Valve has make an official statement about this)
You said it's unfathomable to you, maybe that is what you have to learn... I believe you are kind and not racist. You can hold your point of view, but on this point you don't know enough...