The reduced testosterone requirement is still way above what the average female athlete will have and it is a very limited view of what makes a biological female different from a biological male. I can't imagine what kind of problems this will give in combat sports, just imagine the longer reach and explosiveness men have.
I'm all for people being able to identify as whatever they want, but not at the cost of fair sports.
Here are some great discussions on the topic if you're interested:
Weightlifting House - https://www.youtube.com/watch?v=VcijSwv5YBM
Zack Telander - https://www.youtube.com/watch?v=RjulLSX29H0