Cloudflare actually uses workerd which is a V8 isolate (which does support WASM with a lot of caveats.)
And you can tell it's really always Javascript with the ability to call into WASM. WASM on Cloudflare Workers is clearly a second class citizen.
There are a lot of package compatibility issues, not everyone has migrated or will migrate away from things like fs access
I'm going through this now, giving a full Cloudflare tech stack a shot, but I'm nearing a limit before I just go back to containers
Yeah and that's where it makes a lot of sense. Less sense is replacing containers where you're using much more of the stack. FaaS hasn't replaced VMs, Kubernetes, Containers, etc, so it seems unlikely that WASM would for similar reasons.