This change may make sense for Lago as a hosted multi-tenant service, as offered by Lago the company.

Simultaneously this change may not make sense for Lago as an open-source project self-hosted by a single tenant.

But that may also mean that it effectively makes sense for Lago as a business... to make it harder to self host.

I don't at all fault Lago for making decisions to prioritize their multi-tenant cloud offering. That's probably just the nature of running open-source SaaS these days.