To my mind it's still an obfuscation of the central difficulty.
If lesbians cannot exist as a distinct, separate category (females who love only other females), and if we use our voices then we mustn't raise them above a whisper if we state our sexual orientation is based on biological sex - so as not to offend - what are we really saying?*
The thing is, I honestly don’t think in reality it is, or should be, as polarised as that. I think some proponents on both ‘sides’ can make it so, by taking various assertions to their logical end-point, but I don’t think that’s always necessary or constructive.
So, I think ‘lesbian’ has a well-understood meaning as ‘a woman who exclusively/primarily has relationships with other women’, and the reality is that some (many) of those lesbians will have only ever had relationships with AFAB women, some will have had periods in their lives when they had relationships with men, some date AFAB women and trans men, some date AFAB women and trans women, yada yada. That is my lived social experience for 15 years, so it’s anecdata but it’s fairly extensive, intensive, sustained anecdata. Only a tiny handful of women get caught up in whether ‘gold star’ lesbians are better for never having had a male sexual partner, or whether lesbians who have a one-off exceptional relationship with a man (or lesbians who have relationships with trans women, trans men, etc) should relinquish their lesbian membership card, and in general they get short shrift when they try it. Having a bit of space to let people use the label that works for them and recognising it’s unkind to interrogate that, has not so far led to ‘lesbian’ falling out of perfectly useable currency to mean exactly what you and I think it means.
(And all of these women have all been located beneath the rainbow flag, outnumbered 3 to 1 by gay men, since time immemorial. And that’s before we even mention the bisexual women. This is part of why the idea that the rainbow flag is now becoming hostile because of a trans takeover surprises me and does not accord with my own experience, because it doesn’t really feel like much has changed, and while I have ambivalence around it - plus frustration with the corporate rainbow-washing involved, and the ever-increasing political sell-out of Pride and so on - it also remains a comforting corner where we are more welcome than we often are in the rest of the world. I get that lesbians and bi women will have a wide variety of complex feelings around the rainbow flag, but I’m very concerned by what sometimes seems like a growing hetero backlash against it.)
So on a day to day, not arguing with TRAs or GC-feminists on the internet, basis, I can refer perfectly adequately to my sexual orientation and people largely know what it means. And I don’t choose to go to Pride with a placard that says “lesbian = female homosexual” or whatever, because IMO that’s not so much about clarity and ensuring we are visible, as it is about gratuitously signalling (at best) my lack of interest in pursuing sexual relationships with trans women, or (worse) my prioritised hostility towards trans women.
I accept I’m not 17 and nor am I regularly in contact with 17yo lesbians any more. I fully believe there are some toxic narratives they are having to cope with, in a very real and frightening way. What I don’t believe is that these narratives have so completely taken hold, that we are in danger of the word ‘lesbian’ actually losing its socially understood meaning; or that it’s only possible for them to resist the call to either (a) transition to male themselves because being a boy is so much easier or (b) accept AMAB sexual partners, if we support them to loudly proclaim a trans-exclusionary position. I think we can, and should, support them to define their own sexual boundaries, their own identities (in the widest possible sense, ie. a sense of self, rather than an ‘official gender identity’ notion), and to say no. (And meanwhile also teach young people to hear that ‘no’ and respond accordingly.)
I think that centring trans people, and trans issues, in the lesbian experience does both groups a disservice.
(Full disclosure - I do think that there are some questions posed by the rapidly-growing acceptance of trans identities that are far more difficult to resolve - prisons, refuges, puberty blockers - but this cotton ceiling thing I think we can and should be resisting without having to rely on ‘trans women are not women’ as a necessary condition.)