That video is a IQ test.
It starts out with a lie ("The blocksize limit is what ensures everyone can participate in the Bitcoin network")
Back in the day it was not unheard of for people to run full peer node (bitcoind or BitcoinQT.) In fact it was probably more common than not. I don't recall if MultiBit and other SPV stuff was out or not. Electrum was around as another option.
and the rest is just there to see how many contradictions a gullible audience can be convinced to accept.
For instance?
(Full Disclosure: I was one of the larger of the financial contributors to get this thing made. Peter Todd was the driving force behind it. Since I've gotten involved with Bitcoin I've seen bloat as being the Achilles' heel based on what influences it will have on the evolution of the ecosystem, and I've put my money where my mouth is. I posited back in 2011 that the most effective way for TPTB to kill Bitcoin would be to embrace it and make it grow it's way into a situation where subversion was possible.)