The 27-year-old actor plays an undercover FBI agent who investigates a white supremacist group in the movie and has admitted he apologised to his fellow cast members for the horrible words he had to use after every take.
He said: "Whenever I was using racial slurs and stuff in the film I would have to go up to the actors afterwards and be like, 'I'm so sorry'. (I said), 'I just, like, have to say it. I know you know that I don't mean this, but I still feel like I have to say it'. We were the most apologetic bunch of skinheads."
Despite not liking the language he was forced to use, Daniel had a "fantastic experience" making the movie.
He added: "It was a very weird film to make in one way because it was a fantastic experience and it was a great crew.
"On the other hand, we are dealing with this very heavy stuff and filming, like, right-wing, white-supremacist rally scenes and we were all wearing T-shirts that said 'white power' on them, and stuff like that is weird and horrible."
And Daniel had to shave his head for one of the film's scenes and joked he was glad to find out he doesn't have a "strangely shaped" head.
Speaking on The Daily Show, he said: "I had to shave my head, which was on camera, and I was happy to find out I don't have a strangely shaped or marked head in any way."