Are you old enough to remember when PC applications came with templates that fit over a 101 key keyboard to show you what all the fn keys did? That's why very little outside professional tooling uses them for anything but system-wide shortcuts anymore. They're horrible for discoverability so unless you live in the app enough to thoroughly memorize them they aren't terribly useful.
As much as I don't care for the Hot Bar in general, it is far better for per-app shortcuts that are used rarely enough not to require (and thus develop) muscle memory. You'd need one of those OLED keyboards to do much better.
On the keyboard, you don't know what a key would do in a given situation.
Sounds like we need a third option.
I actually only just now thought of mapping 3-finger swipe to undo/redo. I've only been messing around with it for five minutes but it's kind of nice, honestly! It's better than cmd+z when you need to undo/redo more than once, because it bypasses the key repeat setting.
you do have feedback with the touchbar! As I recently learned, the trackpad click isn't really a click. It can be triggered by software! And bettertouchtool has a specific action for "touchpad haptic feedback". That means you can trigger a touchpad click when you tap a touchbar button, and it perfectly fine as feedback.
Yes you do have to look. I'm not recommending touchbar actions for things that you do so often that it's a problem (though I have a big button to switch between firefox and vscode, big enough that I don't have to look). But it's not like I was using fn keys without looking either