I'm also experiencing this problem. Today is the first time I try to play since the season update. I verified integrity of the files on Steam and everything. I am not banned. I can't get past the Connect button. I got in once, but all of the buttons in lobby were greyed and I was kicked due to a connection error, but my internet is fine and my connectivity to the game server as well.
I wonder if this is related to the bug that kicks people off Steam Deck, even though I am playing on PC seems they may have made some changes and introduced new bugs related to connectivity and kicking players.
Edit: If I use a Hotspot and connect, I have no problems. This issue only happens with my main connection / ISP. I logged in with hotspot, then I logged out to Main Menu. Also, I went to my profile here on Answers HQ and Deleted all of my old IP addresses. I was finally able to log on once. But as I waited for my friend to log on, I timed out at the lobby and now I have the same problem all over again.
This really needs to be fixed. In previous seasons, once the 'Retry' button timed out and turned into 'Continue' I used to be able to click and it would go through the login process properly. However, now, it hangs at 'Continue' and never actually retries the login. This is the new bug from this season preventing people from logging on after this 'profile is not permitted' bug occurs. Used to have an actual retry but now the system does not retry at all.
Solved: I called my ISP and they opened the NAT on my modem. If the game is blocking due to this, it would be helpful if the error message actually said that instead of saying the profile is not permitted.