I mean, I'm not just talking about the guns. Imagine you're at the bank, and then an individual in full tactical gear materializes behind you. He has a substantial amount of ammo and disappears every time he reloads. Molotovs, grenades, hell, you could even fit a flamethrower. You could fit a massive bomb into that space if you wanted. And you could potentially completely escape the effects of the blast inside you pocket dimension.
I'm not so sure about the smuggling thing. You would still likely be found out, since you'd have clientele and would be traceable to them either via phone, online messaging, or in-person interactions. Sure, you are immediately known about in the terrorist cases but you could pretty easily hide out pursuit, potentially getting away with multiple attacks, and there'd be little-to-no indicators of what's about to happen for the victims until you appeared.
Like, this is some shit straight out of The Boys.