It is unprofitable if all you do is mine.
Yes, and that's the reason BTC has no miner at all.
Good argument.
Dude read.
Free transactions, mean no transaction fees , not free routing.

Yes, read what you wrote:
Error 2: Nodes processing transactions for free are in short supply, if any.
All nodes process transactions for free.
This alone shows that you don't really know a lot about BTC at all.
You can't even distinguish between normal nodes and mining nodes. Not even after pointing the difference out

Increasing blocksize is actually the easiest way,
It is called Litecoin
Yes.. calling blocksize increase the easiest way to scale AND calling LTC as secure as bitcoin.. This shows me that your are incapable of understanding the principles of cryptocurrencies.
At this point i stop arguing with you.
If you research a bit, and after you understood why these two statements from you are completely wrong, we can continue talking.