Isn't it better for the coin to have limitless capacity?
No that is the problem with fiat money. You may benefit from doing some reading on basic economics.
Well, you imply as if there is consensus on this, but there isn't. Most of the economic community is torn between this being either a good thing or a bad thing. I understand that Satoshi Nakamoto's whitepaper proposed we go back to a limit system, and I don't disagree. When it's regarding money. But I don't see Waves as a currency, at least not in the long run. Not in the same way that Bitcoins, Monero, etc. are considered.
What makes the limited supply a good thing regarding a token platform like Waves?