Most social media platforms implement content moderation to address interpersonal harms such as harassment. Content moderation relies on offender-centered, punitive approaches, e.g., bans and content removal. We consider an alternative justice framework, restorative justice, which aids victims in healing, supports offenders in repairing the harm, and engages community members in addressing the harm collectively. To assess the utility of restorative justice in addressing online harm, we interviewed 23 users from Overwatch gaming communities, including moderators, victims, and offenders; such communities are particularly susceptible to harm, with nearly three quarters of all online game players suffering from some form of online abuse. We study how the communities currently handle harm cases through the lens of restorative justice and examine their attitudes toward implementing restorative justice processes. Our analysis reveals that cultural, technical, and resource-related obstacles hinder implementation of restorative justice within the existing punitive framework despite online community needs and existing structures to support it. We discuss how current content moderation systems can embed restorative justice goals and practices and overcome these challenges.