You have absolutely no idea what you are talking about. Saying your opinion must be correct because Nintendo made an unfounded legal assertion and a small emulator dev team settled rather than lose even more money battling their army of lawyers is like saying everyone ever shot by the police must have been a life-threatening danger to them because they wouldn’t have been shot otherwise. There is legal precedence in the US that emulators are legal because unless they’re made with leaked or stolen proprietary data there’s no reason for them to be with current law.

Nintendo’s ToS is not the law. I don’t know why you think that.

There will probably be a Switch 2 emulator that runs games better within a month of release.