Your account is really new, you haven’t earned any badges or have any friends/fans so its probably best for you to make a new account with the username you want.
I think inappropriately named accounts would just get banned.
They do, but then they’re offered the chance to get their name changed so that they can keep the same account and all of the content on it.
Since you’re not attached to the name, and you haven’t done an awful lot on the site since you signed up, I’ll have to agree that making a new account is the way to go here.
You can’t change your username, though you can change the capitalization. You can contact support@kongregate.com or leave a shout or private message to an admin for the capitalization change.