The Basic Rules and PHB sections on Sex in the Personality and Background chapter on D&D Beyond state:

You don’t need to be confined to binary notions of sex and gender. The elf god Corellon Larethian is often seen as androgynous or hermaphroditic, for example, and some elves in the multiverse are made in Corellon’s image. You could also play a female character who presents herself as a man, a man who feels trapped in a female body, or a bearded female dwarf who hates being mistaken for a male. Likewise, your character’s sexual orientation is for you to decide.

However, the bolded words were actually removed from both the basic rules PDF and the PHB; though it's not mentioned in the errata, Jeremy Crawford states that:

For example, when I got the feedback about the word "hermaphroditic," I looked into it and agreed that the word should be cut. As soon as we could cut it, it was gone from the "Player's Handbook." I believe in action.

(That Twitter thread is what brought the issue to my attention.)

Please update the basic rules and PHB on D&D Beyond accordingly.

Thanks for the quick fix!