I honestly thought it already was running natively, it already runs super smooth in rosetta

Rosetta is incredibly impressive. And I guess it needed to be. The switch to ARM was going to be a hard sell without a fast x86 translation layer. I'm hoping though that devs don't use it as an excuse to never release ARM builds of their software. It would be good to have ARM builds across all the major operating systems.

I fully expect devs to drag their feet.

This happens with every transition in Apple history. It takes pulling the rug out completely before many devs will do it

Look at the Python transition, the carbon to cocoa transition, even the original Rosetta transition.