You are right. But even though that's the case, it looks like your coins aren't really gone if they go down or close their doors.
From your link:
If you lose access to your 2FA method, or the Blockstream Green service becomes unavailable, then the account recovery process is different depending on the type of account you are using:
2-of-2 Bitcoin
Uses nLockTime
Bitcoin Standard Account Recovery (nLockTime)
The recovery process for Bitcoin standard accounts requires pre-signed nLockTime transactions. If you have set an email address for recovery in your wallet’s settings, these nLockTime transactions will be emailed to you whenever you make a transaction.
Note: You must set an email address in advance to be able to recover a Bitcoin 2-of-2 account.
If you have not made any transactions within the timelock period (default 12 months), then the nLockTime transactions can be used to move your funds without requiring a signature from key 2 on the Blockstream servers.
To ensure that your wallet is always secured by 2FA, the app will request a redeposit for any funds that haven’t moved for the duration of the timelock period.