I just wanted to post this here because I want to help you all and hurt gen.xyz as much as possible. I had a .xyz domain through njal.la which I used to host jellyfin, homeassistant, and other basic things for friends and family. My domain recently became inaccessible without any notice. After a while of troubleshooting, I found that it had been reported to xyz as abuse, and they must have done zero investigation whatsoever before serverholding my domain. I thought about opening a ticket with xyz to get my domain back, but realized that I no longer wish to buy from some shitty company that will take down any site without warning. Bought a .com domain since they are somewhat reputable, and I would advise everyone here to never buy a .xyz domain. Angry rant over.
Just wanted to say in case others see this, you can buy a .xyz domain from reputable places (maybe for a higher cost). I believe the OP is talking about the specific site 'gen.xyz'.
I have an xyz domain with Cloudflare, host many things on it (like Jellyfin), and haven't had any issues yet.
Edit: as many have pointed out, my understanding of registrars was wrong and gen.xyz actually owns all xyz tlds. Sleep in fear if you own one I suppose
Cloudflare can still go bad, but its usually for high-capacity users who are using way more than the average. I haven't seen any homeserver users get hit with any trouble, but I've seen a couple small businesses have bad situations with Cloudflare, although it honestly seems like the minority.
Cloudflare has issues but for most its probably fine.
From what I've seen/heard, if you follow the ToS (usually by not proxy-ing hosts that shouldn't be proxied or are in violation if they are) there's nothing to be afraid of ¯\_(ツ)_/¯
I bought from njal.la. they were almost entirely unhelpful but pointed me to the site for the tld. It appeared through their wording that gen.xyz who owns the xyz tld was responsible for taking the domain down. I bought my new domain through porkbun tho.
Njalla just buys domains from major registrars on your behalf and owns them on your behalf. Godaddy, Tucows, etc. It was the owner of the entire .xyz space (gen.xyz) who shut your domain down. Njalla is just passing along the info. Porkbun will do the same.
Since its servhold, you may be able to remove the offending content (for a short time, anything public-facing) and then contact reg.xyz to get it unsuspended. You're right though that's not very good customer service.
On a related note, it's possible a misconfiguration allowed some of the contents or index to be shown publicly and it got caught in a search engine and was taken down in an automated DMCA sweep. I believe .xyz is an American registrar so have to respond to DMCA but could be wrong on that. I like to stay with any .TLD that archive uses.. md, ph, etc.