Those are good points. I've played MC since early alpha, but haven't played much of the 1.20+ content yet. I still haven't fought the Warden! Ahhhh!!!
I do really appreciate hearing that Jeb has that mindset and goal. And you are right that they have eventually added more uses for things that started useless.
From a design standpoint it is often surprisingly difficult to remember to use older content and mechanics on new content. You see it in RPGs and story type games often. In level 1 you unlock a skill or item, have to use it over and over for a dungeon or level, and then by level 3 you never ever use it again. Sometimes games will manage to remember the "old" things and keep them relevant and when I notice that I always really appreciate it. Several of the Zelda series games manage this. E.G. the Deku Nuts/Sticks still being used in the last dungeons.