I agree. There's a reason Microsoft and others are pushing passwordless login everywhere. People re-use passwords and store them insecurely. Atleast by using E-mail you only have that one account to secure.
Microsoft is not a good example for anything and passwordless login is not good for everything, and people using same passwords many times is human error.
People using only one email address for everything is also not good, and I saw many examples of people getting scammed with emails.
Let me name just few problems with email address from personal examples, I send email but other person never receives it because google or microsoft marks it as spam.
Than email servers can become unavailable, locked or blocked for some reason, and that means I cant access any website connected with that address.
However, I would personally add an option for 2FA on top of the login. It can be an optional feature but should exist nonetheless.
2FA is good to have if it is optional.