For me Layers became useless very quickly for exactly the reason I describe. As I tracked the layers got smaller and smaller and smaller and for some insane reason Cake made it so you could not expand them vertically and the tracks would lock to screen height.
So it was fine if there were only half a dozen or so layers but since I create WAY more takes than that there would become a tipping point where ANY editing became impossible. Even the Layer Mute/Solo buttons would disappear.
It was bad. Very bad.
When lanes got introduced in X2 it was a godsend at first but X2 was ridiculously buggy and the Lanes workflow was half baked.
X3 and comping fixed everything (aside from one weird annoying bug that would jump the screen to the parent track in certain situations but that got fixed in SPlat).
As for the hotspots, they can be finicky fershure but now that I know their quirks and exactly where/how to access them it's no problem. I do think sometimes though it depends on the graphics resources on the system. I know if I'm really maxing out my crappy GC or the system in general the hotspots get harder to hook into. If a project starts corrupting... even worse but it was WAY worse on X2... and impossible in X1 which I'm assuming would have been the same scheme as 8.5.
But it DOES work as designed barring other issues and as noted there are ways to force the issue when they aren't playing nice (which is happening less and less these days on my rig).
I think because of the time period I came into all this (X1) I got to start fresh with BOTH workflows. The layers scheme was not ingrained in my workflow after years of usage so it was like learning all three completely fresh (Layers, Lanes without comping, Lanes with comping within 2-3 years).
The current method, to me, is simply a buttload easier.
I actually came from Nuendo 2 which had a weird system of a single track and you had to Right Click to call up (promote) clips from a menu. Now THAT was weird... but I kind of liked it and actually wouldn't mind that to be included as a function in the Parent Track. Essentially you'd rifle through the list of clips and whatever you selected went on the top (and anything underneath go muted). You then did your crossfades against whatever was overlapping with that top clip. So you could have Clip 1, 2 and 3 where Clip one was in the middle, clip 2 was at the start being partially obscured by Clip 1 and clip 3 at the end (being partially obscured by Clip 1. You fade them together and apply on clip levle autmation or whatever and that's how you comped.
It is possible there was an "expose layers" type thing but I didn't have a manual and that system worked alright for me.
If I could have lanes AND do that in the Parent Track... that'd be cool.