National Socialists are called Nazis because that's how Nati in the german National is pronounced. If you were to say Naci like a German would (which I would assume you would, since, like I said, Nazi is just the angloized spelling), it'd sound something like "nachi".
Actually, the reason why they're called "Nazi" (which in German is pronounced approximately as nah-tsee) is the fact that national socialist in German is Nationalsozialistische
But, I think I'm just gonna borrow from Serpent and call them (the NatComs): Drexler's Very Merry Band of Drunken German Dwarves.
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