One thing you discount a little is that steem users keep earning steem just by being here. So even if I lost each week. I would also be earning steem to come back with. They have a upvote plan for players that just needs a better format. I got one of these votes but it seems lucky right now. But the payout to me will be like 10 steem from the vote. I haven't lost close to 10 steem playing yet. Given I am a small time player with just like 12k magic tokens. So in the end I might never make it to 1 million tokens but I still say that people that earn steem might want to gamble it.
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Sure. That might offset it a bit, but really, the slowdown would be extremely insignificant.
I do agree that once earning magic tokens starts to slow down so is the site unless like he said there are more games to play. So at some point it makes sense to just stop and collect what you can and that point might be soon.