Yeah "fag" is fine in context such as: "I'm just nipping out for a fag" "Can I bum a fag?"
But you can't say it to, or about, a person, well, unless you're a homophobe.
'faggot' is almost always a slur though, you'd better be in that rare circumstance where you're very clearly referring to a bundle of sticks otherwise, no.
I guess 'nip' is also occasionally a racist slur for Japanese, but normally quite innocent; just something quick. or a pinch, or a wee dram.
Vaguely related, you might be interested in https://en.wikipedia.org/wiki/Polari. A few British slang terms migrated out of queer-creoles into more mainstream usage , possibly via popular radio and tv.
https://steamcommunity.com/dmca/create
But be warned that it might tie up both games in bureaucracy. You might hope that steam has the timestamps readily available to prove the sequence of events - though I'm a bit skeptical of cloud storage about that stuff. So you might want your own evidence from your own storage.
It'd be good to try to find someone who has gone through it on steam, and of course a lawyer, if you can afford it.