As a sideline, I run a WOW guild and we have a rule that occasional swearing is ok, it happens, after all, but excessive swearing will get you silenced, and if ya don't rein it in some after a while we'll look into whether you're right for the guild.
Way I see it is we have young people playing, and while I don't feel any need to 'protect' them from a rude word, if their mum or dad happens to look in and see that they're getting told what they can go and do with a donkey corpse and a gallon of swarfega, then they might lose their ability to play.
Despite stereotypes , some of the younger players are really good and sensible and I don't want to lose em!
As for explosive swearing from unfair deaths in games, hell it happens, can't blame anyone for dropping a few F bombs.