I run a 4 bay and a N100 NUC.
The Synology is almost a pure storage machine. Works really well with Proxmox on the side. Not a single file has made it kneel yet, and I’ve thrown some high bitrate badboys on it.
Is not upgrading the drives an alternative?
I feel like you sacrifice a lot of practicality removing the NAS, such as automatic backup from phones and very easy remote access.
Personally I also prefer separating data and software, so I don’t lose it all if a component fails.
Just my .02