Emulation was; breaking cryptographic locks under the DMCA never was. In addition, most of the pro-emulation lawsuits were decided before the relevant DMCA sections even came into effect (e.g. Bleem), and are quite possibly already obsolete.
If you're curious, here's the most relevant parts of the text:
> No person shall manufacture, import, offer to the public, provide, or otherwise traffic in any technology, product, service, device, component, or part thereof, that [...] has only limited commercially significant purpose or use other than to circumvent a technological measure that effectively controls access to a work protected under this title;[...]
> As used in this subsection—[...]a technological measure “effectively controls access to a work” if the measure, in the ordinary course of its operation, requires the application of information, or a process or a treatment, with the authority of the copyright owner, to gain access to the work.
FYI: I am not a lawyer, but you can listen to a lawyer explain the above at the following link https://youtu.be/wROQUZDCIMI?t=868
> Developing or distributing software, including Yuzu, that in its ordinary course functions only when cryptographic keys are integrated without authorization, violates the Digital Millennium Copyright Act [...]
so, first reading, no: just taking Yuzu and splitting out the DRM stuff isn't legal if Yuzu still _depends_ on that DRM to function. you could maybe come up with some thing where you do full Switch emulation, with the code having literally zero concept of DRM/cryptography, and can only play homebrew games. do that and some other party would likely come around and do the (likely illegal) work to convert Switch games into a format your emulator understands. quite a bit like MAME cores, really.
fun speculating about how to bypass the spirit of this ruling though, huh? IMO if you actually want to do this don't bother with the roundabout. just do it directly and don't incorporate yourself in a state that cares about DMCA like a dumbass, and strictly distance your operations from your legal identity if you live under such a repressive regime.