I disagree, the "conflict" in "conflict-free" is not misleading at all. As I see it, your issue with the "conflict" lies in a misunderstanding of what a conflict actually is in the context of CRDTs and what eliminating them entails. Concurrent updates can be free from conflicts but still end up with a semantically inconsistent document, and that is perfectly fine.
The whole point of CRDTs is to allow collaborative editing without resorting to mutex locks or forcing users to retry cancelled updates. That's why Yjs merges two captions added to a figure, and also why other CRDTs don't stop concurrent updates that make no sense semantically, such as having users concurrently writing incoherent sentences. Document-wise, there is no conflict or inconsistence.