So the issue that someone with…

So the issue that someone with deep pockets can keep raising the fees to make the chain hard to use for the long tail. Long tail is like developers, people opening channels, casual users, L1/L2 interactions, and also the poorest people in the world.

It's an expensive attack, but not THAT expensive. For example if a nation state really wanted to annoy bitcoin they could do that. It wouldnt kill bitcoin, from many POVs it would be good, but it would hurt.

Larger blocks defend against this attack by making the cost more expensvie. Let's say I was paying 1 million per day before, I might be paying 1.1 million instead, or even 2 million, and on top of that they have to keep it up for long periods. Eventually they run out of money. Or better still, the cost is so high they dont try in the first place.