There's another side effect: Whenever a site or community grows, it becomes a more and more attractive target for bad actors. The site finds a way to separate signal from noise, this attracts an audience, and that attracts bad actors who learn to mimic the signal in order to access the audience for their own gain. Unless the site finds a way to expand whatever it did in the first place to isolate signal from noise, to also isolate signal from mimicry, then the site will go into quality decline.
We've seen it on Amazon with fake reviews and a flood of cheap crap, we've seen it on Facebook with clickbait, bots and manufactured outrage being counted as "engagement", we've seen it on Etsy with cheap crap passed off as homemade crafts, we saw it with StackOverflow-copying SEO-spam on Google, and just blogspam and SEO-spam in general. Whenever there's a commonly-relied-upon signal, there's someone trying to mimic it, thus lowering the value of the signal.