There are multiple sanctions, affecting government-related personalities and state companies. Why did you decide to make a ban for the total nation despite on their location, occupation and not same black list of government-related targets?
They are a private corporation who is able to choose who to do business with, including blacklisting a full nation.
They also have what sounds like a sizeable workforce in Ukraine itself, so it should be pretty obvious why they chose to blacklist the entire nation invading their direct coworkers'.
It doesn't work that way. Discrimination doesn't follow the transitive property. To discriminate illegally you have to discriminate for an illegal reason. Discriminating for a legal reason while that person also belongs to a protected class is not illegal.
Given the context of this thread and the current war, I think it's pretty clear Namecheap is turning away customers in Russia's jurisdiction because they don't want to support the Russian regime through taxes. The fact that the people who live under that regime are mostly Russians is tangential.
It's just like how Walmart.com doesn't ship to China. That's legal. And if I'm in the US, and I put a Chinese address on my Walmart.com account, and they don't ship me a package, that's not discrimination, that's just a mistake.
Now, if Namecheap starts intentionally going after people of Russian origin outside of Russia, that's a different story, but it doesn't look like that's what's happening here.
Tax dollars fund that very government whether directly or indirectly. If you have a property this is anti regime or to that effect. We will consider white listng you.
"Tax dollar"... I don't want to diverge the discussion, but that's the very same reason I've been avoiding "Made in China" products (as much as I can) for several years now.