Good idea but couldn't this been implemented a bit more elegantly? , why does it have to need a midi/instrument track first assigned
to a vst  in order to route this to another audio track in ,in order to record it as realtime audio, that's 2 seperate tracks needed and taking up screen area for something that could be done into 1 track , maybe a dedicated live vst instrument track or being able to
just drop vst into the browser rack and play that without having to create another miditrack to play it into an audiotrack

In general whether you see it or not, there is no getting around multiple tracks or lanes since we need the ability to edit *both* MIDI and audio data for instrument tracks. i.e a user may choose to record MIDI, or audio or both. And with multi-out VST's you can have multiple destinations.
There is a possibility that for those users who would never use MIDI we could only show the audio channel of a simple instrument track or allow the user to switch the display to MIDI or audio. It would be a lot of work however and instrument tracks are already one of the most complex areas in the UI.

I never use Instrument Tracks, just don't trust them, I don't know why. Maybe it is because there are lot of restrictions with them, and I find separate Audio-Midi tracks more logical.
As for screen area, there are Track Folders for saving it. And this why Nested Folders feature is absolutely required, to keep pairs (or more) of Audio-Midi tracks in separate folders, and to group this "instrument" folders in bigger folders such as Drums, Synths, Pads or Verse, Chorus, etc... I hope it will be the next big improvement after Track-To-Track Routing.

Noel Borthwick [Cakewalk]
In general whether you see it or not, there is no getting around multiple tracks or lanes since we need the ability to edit *both* MIDI and audio data for instrument tracks. i.e a user may choose to record MIDI, or audio or both.

Just my point , if one chooses to use 'live synth recording'  it implies the user wants to forget about editing and
i think this process can be done better , if i want to edit i play in a regular midi and or audio track , for live synth i used a process (other daw) where a vst output could be captured  at console level , the vst didnt need any tracks assigned since i could play it in 'midi input rack' device (like a browser window where multiple vst can reside that can be linked to miditracks or use midi input port to play them directly from there)  .
 
 

I see your point but your application is not necessarily universal. Many people use multi out instruments like Kontakt. In that scenario, split instrument tracks is by far the preferred workflow so you need to arm multiple tracks for recording. What you are asking for only applies to instruments that have a single output - In that scenario yes if all you cared about was audio then there would be no need for the MIDI track. Someday we may update instrument tracks to choose whether to show audio or MIDI but I think there are many other more useful things we would do before that.

There is one thing I've noticed. If I add tracks to folder, folder record arm button doesn't switch synth output track's new record arm button. Is it done on purpose, or will it be changed?

I wouldn't bother changing anything. Life is complicated enough as it is.
 
There a MIDI tracks and there are audio tracks. Nice clear separation. I don't really use instrument tracks, either, not because I don't trust them but since I use them so rarely (almost everything I use as VSTs is multi-out) that I find the additional options confusing ... hence, no need for another layer of complication ...

Adq
There is one thing I've noticed. If I add tracks to folder, folder record arm button doesn't switch synth output track's new record arm button. Is it done on purpose, or will it be changed?

Good question!
 
Ctrl + click works for the selected tracks so it's not a biggie but I wonder if there is a true purpose that the folder record button just arms the MIDI channel...

Adq
There is one thing I've noticed. If I add tracks to folder, folder record arm button doesn't switch synth output track's new record arm button. Is it done on purpose, or will it be changed?

Thats an oversight. We'll address it for the next update. Thanks.