It is a democracy, yes.
The government is elected to represent its people. Annoying to us as it is, a tiny percentage of people [1] signing an online petition does not represent the people. There are an awful lot who think this new law is a good thing. [2]
[1] Yes. Fight me on this. 404k signatures out of 70million population = 0.58% opposed this enough to sign it.
[2] Mostly parents imo, and people who don't understand the significant fraud risk involved. Those who haven't been impacted yet, and those who enjoy other people being upset. Yes, I think this is a stupid law and the methods used even worse, but that doesn't stop a democracy being a democracy