Whether it was intended as a joke or not, the response given was not appropriate. The position you hold comes with responsibilities, and it's essential to exercise them with maturity and professionalism.
The role is not about having fun or seeking fame due to your status on the user list or the power you have. Using that power inappropriately, like the incident with the moderator who muted someone for the "smh" emoji, is not acceptable.
If you feel that this role is not the right fit for you, it might be best to reconsider your position. Not everyone is suited for this type of responsibility, and it's important to take it seriously. Additionally, making threats against the user who reported you on forums or in private messages is not only unfunny but also unprofessional.