So adding bind=127.0.0.1 does nothing? What's the point of this setting then?
Adding bind=127.0.0.1 combined with proxy=127.0.0.1:9050 would make your Bitcoin core would
only connect over Tor.
That config is to bind any Bitcoin core connection to 127.0.0.1 which it will be passed to port 8334(default tor inbound connections) and then addressed to your default bitcoin core port (8333). So it would make any connection using Tor.
These references might help u understand further:
https://en.bitcoin.it/wiki/Setting_up_a_Tor_hidden_servicehttps://github.com/bitcoin/bitcoin/blob/master/doc/tor.md
Correct me if I'm wrong tho, I just barely learn about bitcoin technical things.