Which will only serve to harden the resolve of their voter base. You can ban the AfD, just like the NPD was banned. But these people don't simply go away and stop existing, just because the party they're currently voting for vanished. Instead, in the current climate of conspiracy theories and outright coup attempts by these groups, they'll take it as proof of them being oppressed and will radicalize further.
I don't think appeasement is the way, I simply don't see an easy or simple solution to the political mess we're in. Just like the AfD has zero solutions to the complex problems they pretend to be able to solve with "simple" solutions, none of the other parties have any functional approaches to dealing with the rise of the far right without alienating all those people that are supporting them.