Well, then you could only ever track 255 different tags :)
AirTags are already pretty minimal. Their battery lasts about a year, and I imagine an open source equivalent should be possible to build for under $5.
This is purely guesstimated based on the fact that I have a couple of Bluetooth LE thermometer/hygrometers that cost me about $3 a piece that last about a year on the same battery (CR2032) – and these run custom firmware and need to run a display and data logger (to on-chip flash) as well!