[1] Members name.
ryba
[2] Report: what rule(s) they broke (quote them).
Se*uality
[3] Did this affect anyone (e.g. they were using their hacks in PvP)?
yes
[4] Evidence. (If this includes chat, Phase link one or more messages)
[5] Dimension: (if this is a server report).
PvP
[6] Roughly, the time (in UTC) the offence was made. (if this is a
server report)
18:36
I think this is rather harmless lol, there have been people describing way worse stuff that is sexual
if you say so… but as i remember, some players said that is a special context, not just for fun.
ok… but that word is a medical term. its not in any way thats a bad connotations. unless it use for mocking and revering leading to something negative.
but even then, its a common word that if randoms would want to say some random offensive word, that would be their pick. maybe a warn would be good enough
How about yall simply read rules 
Specifically part At least one warning will be given and are not suitable for the Terraria audience
Conclusion: that word should not have been entered, however, in given context, it is not immediately punishable by ban. Please, re-report if they violate this rule again