He is not broken or banworthy like Steve is[...]
I would say he's about as broken and banworthy as Steve is (that is, not really banworthy and almost certainly not gamebreaking).
I think the top six (in some order: Steve, Aegis, Joker, Sonic, Kazuya, ROB) all should've gotten a few more nerfs, and probably would've if we were still getting patches. We're not, so we're going to have to deal with them being overtuned, or ban them. Keep in mind that in Smash 4, Brawl, Melee, and 64 we had to deal with characters that were significantly more overtuned than these characters. I believe that much of the hate Steve and Kazuya get is because they're unconventional and annoying, not because they're incredibly overpowered. We had to deal with Smash 4 Sheik, Smash 4 Diddy Kong, Smash 4 Cloud, yet (almost) no one pushed for a ban for those characters in singles (Cloud should've been banned in doubles though, probably the most broken doubles character of all Smash, and it was showing in results).
Is Steve broken right now? No, no way. Is Steve going to be broken, hypothetically, if Steve players learn all of his tech (not counting PLMG which likely isn't much of an issue)? Hypothetically? Perhaps. Do we ban characters because they're
hypothetically broken, with little to no evidence showing that they are in practice? Would that be a good practice? I doubt it.
Steve may be unconventional. Steve may be annoying. Steve may look ugly. But is he currently banworthy? Does he break the game? Or is he yet another overpowered character? He's likely #1 in the game, but the gap between #1 and #2 likely isn't as significant as people think (and probably significantly less than the gap between Bayonetta and the other top tiers in Smash 4). In Smash 4, we saw several top players dropping their main in order to pick up Bayonetta. In Brawl, Meta Knight was by far the most popular character played by top players. Melee Fox is still a staple top tier. Steve? Steve is mainly played by teenagers and people in their young 20s, at least at top level. You don't really see many top players dropping their mains in order to pick up Steve. But if he's really as strong as Smash 4 Bayonetta, why wouldn't they? I think the answer is that he's just not as good as Smash 4 Bayonetta, and you'd have to invest quite a bit of time to get good with Steve (which players like Onin, acola, Jake, yonni, DDee etc have done).
In summary, based on Steve's current results and what we currently see Steve players do, Steve is not banworthy and not particularly close to being banworthy. Hypothetically, he could be in the future. Keep in mind that many Smash players used to (and some still do) put Shulk in
top 5 because of
potential. I don't think it's a good idea to ban Steve because he's potentially broken. He's overpowered, sure, but he's currently not doing well enough to warrant the label "broken".
That being said, if we
do ban Steve right now, that opens up the possibility for more bans, since that means we're willing to ban characters that are hypothetically broken. Sonic, a character many Sonic mains claim has 0 losing matchups and not many even matchups and could potentially be #1 in the game, and Kazuya, a character that could, when played optimally, potentially be #1 in the game, could also be on the chopping block. If the argument instead is that Steve "isn't playing Smash" or "is so annoying", then Min Min could also be added to the list, presumably. I think it would probably be better if we only banned Steve if he turns out to actually be broken, not based on a hypothetical future but rather the actual present.