The main reason for developing the Tremolo Switch was that I wanted a stop that would not add any friction to the system when disengaged. Friction will always impair the smoothness and the tuning stability of your tremolo and even cool whammy bar tricks like flutter effects could become impossible to do. Some solutions surely has other benefits (full blocking), but I can do without them to ensure that there is definitely no friction added. It’s a question of the specific use case, I guess.
Well, I think there are two options how you could use the Tremolo Switch.
Henning for example, who made the introduction video, obviously has a different approach to using the Tremolo Switch than I do. He wants to have engaged the Tremolo switch permanently, even in standard tuning. When you want to do that, the plunger have to push a little against the trem block, otherwise it would rattle.
I myself engage the Tremolo Switch only when I want to go Drop D. I have set the Tremolo Switch so that there would be rattle in standard tuning, but when I lower the E String, there is enough load on the plunger, so that the rattling disappears. If you want to do so, you don’t need any preload on the Trem Block (in standard tuning). This means that you can set the Tremolo Switch just right so that you don’t have to retune the other strings when you go to Drop D. How to set this up properly is described in the Instruction Manual.
The problem with a rubber or felt tip on the plunger is, that the material is too soft. This means that you don’t have a 100% accurate stop. So when the pressure from lowering the tuning increases, the other strings would detune as well.
The question is partly answered in the question about the rattle problem.
When you only activate the Tremolo Switch when you want to go to drop tuning, you can set it so that it just touches the tremolo block very slightly, without moving it in any way. By doing so, the strings remain 100% in tune when you engage the Tremolo Switch. So you can tune down the low E string without having to retune all other strings.
Well, to be honest, I still check the tuning of the whole guitar when I go to Drop D. But when set up correctly it’s very reliable. So going back and forth, even in between two songs, is definitely possible!