re: NIL allows for unlimited roster sizes

Even if a school had a $1 billion NIL budget I doubt there are too many kids who want to play professionally that are willing to be 3rd string just for a paycheck.

Anecdotal evidence today shows that highly recruited players who aren't guaranteed playing time almost immediately are very likely to enter the portal at some point.

My guess is even if your scenario happens best case is you have a ton of paper depth, but end up with a back end 3-4 deep full of marginal players just there because they are overpaid.