What the heck was the whole "peachy" thing about? (I wasn't in the fansom when stuff went down so I have no idea what people were mad about)

I assume you’re talking about this from the Trickster Mode part of the story

Well it was originally

Which was supposed to be a joke about how the characters don’t have defined races but everyone always assumes they’re white, but a bunch of people got offended and complained and Hussie was like “Yeah, I can see what you mean” and changed it.