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In essence, it's 'okay' for things to be FTL due to expansion of the medium. Imagine an ant crawling across a balloon as we stretch it. The ant could get some pretty fantastic apparent speeds relative to another ant because the medium is expanding, but step by step its moving at regular ant speed.

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It is interesting to think of the opposite: space fabric is shrinking, so light needs to travel "slower" so as not to break causality. I know I know, it's not really slower because the fabric is shrinking.

But there is non space "fabric". There are interactions between qanta/matter but space is still space right?

It doesn't "need to", it just does. Causality is defined by the speed of light

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