Some people may consider this a reason to continue to support them.

I prefer my domain name registrar to be neutral instead of political, thanks. What's next, bash refusing to run if your locale is ru-RU?

There's no "neutral" here, just different flavors of political. Indifference to and support of a war of aggression are both legitimate political positions. But they are unavoidably political positions.

At this point, there are 5000+ dead Ukrainian civilians. If at this point you are more concerned about Russian citizens buying domains names from one vendor than you are about Ukrainian civilians getting blown up, that's in no way a neutral position. Similarly, you and Namecheap both have freedom of association. Their using it to enhance sanctions against Russia is exactly as political as you using it to boycott them for their choice.

They have 1700 employees in Ukraine (https://www.namecheap.com/careers/ukraine/) maybe you would feel differently if your country was invaded.

Some reactionary, short-sighted, and young / inexperienced people, yes. One shouldn't be punished simply for being the resident of a certain country.

Not being allowed to use a particular domain registrar is no punishment that I'm aware of. Particularly when said registrar's main offices are in the country being occupied.

Their policy on exceptions seems pretty reasonable.

    Are there any exceptions?

    Yes, we continue to provide services to:
      all anti-war media, protest resources and any type of websites that are helping to end this war and regime;
      Russian citizens who are not Russian residents and don't support this regime in any way;
      independent journalism;
      non-profit organizations.

But I guess people who support Russia's genocidal attack on Ukraine are still going to be salty.