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You're misunderstanding the argument, Chris is not talking about current block space but about incentives and markets. What he actually argued: demand is unbounded, a point made by gmaxwell in 2015 or so. E.g., anybody on the planet who needs to store data forever can now do it more easily in bitcoin.
What a retard. Empty blocks are being mined, how could he possibly reach the conclusion that these Bitcoin database users are "absolutely drowning out payment use cases"?