The other advantage is a rough classification in the type system. Not marking a function as async means that the author believes it can be run in a reasonable amount of time and is safe to run eg. on a UI main thread. In that sense, the propagation through the call hierarchy is a feature, not a bug.
I can see that maintaining multiple versions of a function is annoying for library authors, but on the other hand, functions like fs.readSync shouldn’t even exist. Other code could be running on this thread, so it's not acceptable to just freeze it arbitrarily.