By definition, it's a backronym.
wikipedia said:
A backronym or bacronym is a phrase constructed after the fact to make an existing word or words into an acronym
If that doesn't fit the way many people use the word cato, I don't know what does.
As for the ridiculous pedantry of "take off" vs "blast off" vs "lift off"? Give it a rest.
thefreedictionary.com defines take off (def. 6) as:
"6. To rise into the air or begin flight"
I'm pretty sure that when we launch our rockets, they rise into the air and begin flight.
The oxford online english dictionary defines it as:
"1: an act or the action of becoming airborne"
Last I checked, our rockets do indeed become airborne.
Basically, while it is true that cato was not originally meant to be an acronym, and the acronymizations (?) of the word are somewhat contrived and questionable, the problem is certainly not with the use of the phrase "take off", and it's honestly kind of ridiculous to attempt that level of nitpicking (especially incorrectly).
(And for the record, many catos are indeed explosions, but they are not detonations [I know I might be opening a whole other can of worms here])