Can I (should I) change the name of this distribution?
Actually changing the name because someone might be offended by a sound that comes from a completely different domain and is completely separate from the history of racism would be condescending, in my view.
And, as you say, the term is in common use. Changing it would also confuse some people.
Leave it be.
There was no intention to do harm and the acronym is natural. The language police are unlikely to chase you down. It would be different of course if the acronym were chosen for racist purpose, but that is clearly not the case here.