You are playing a fool here...The net effect of this would be for masternodes to be sold en masse
And now you're the one making blind assumptions with no evidence. In fact the evidence is to the contrary.
Bitcoin has over 10,000 nodes and not one of them gets a satoshi from the reward. You quote an ROI in Dash which you must know is meaningless because it doesn't account for the capital gain or loss on the collateral. My point is that it's that capital loss that's been PAYING for the Dash-denominated ROI so you conveniently ignore the most important point.
If reward ratio was shifted back, nodes would still be profitable. Sure there may be a shakeup but there's always takers for a profitable operation. You may ditch your node because you wouldn't be happy with the new high-mining protocol but someone would come along and buy it from you that was and they would be a far leaner and more efficient operator for the network.
If can have 5000 nodes with a net negative ROI in dollars then we can easily have 5000 nodes with a net positive one even if it means a revision of the block reward back in miners favour.
Under your correction it would become 0.28% all of which would be consumed in hosting fees
Even a reward ratio of 20% at HALF these prices would be profitable. It would represent around $208 per month and would not be consumed in hosting fees which are around $20 per month. More to the point it would allow the currently wasted reward to be redirected into mining and start to address the issue of stabilising the capital value.
The risks you cite have already been taken - we've had the 3 year selloff, way beyond LTC, XMR et al. They hit rockbottom and bounced. We hit rockbottom and are still digging because we have this enormous deadweight to support in masternode margins.