It's a reference to "Lolita" by Vladimir Nabokov, which sexualizes a young girl. The Japanese loanword term "lolicon" means "pedophile."
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but why can some psn clans have loli in the name then? they also have to be edited on this site right?
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Maybe they were created before they started checking, or a different platform is rejecting the string.
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ok thx for the help