I don't mind answering that question again.
XNations was conceived in the spring of 2002, and came to life on the net in late August of 2002. I just thought that the name xnations could be something that webmasters who work in "x" could gather to, no matter where they came from "nations".
As for the pirate or sea-going theme, well I originally wanted the X to be like on a treasure map where X marks the spot where the treasure is, and then my designer went a step further with the whole motif. But I think it's one of the best, if not the best designed adult boards out there. It makes this place unique, as do all the custom hacks.
That's the story!