On one hand I think Kalph and Heed are right, and on another, Badspot did design Blockland originally to be a minimalist game. The focus was on building, and from what I've heard of the "Golden Years" of Blockland, a lot of people met to build cooperatively and create large projects just as something to look good, not necessarily serve any function.
I have a feeling that Badspot in a way feels uncomfortable with user content at this point, as it's really just a complicated set of content that requires more matching and planning than the average female teen's wardrobe for a week. Right now it does look like the content system of Blockland is imploding in on itself. There are two sides of this coin. A) Things are already made, there are few niches left, unless content creators make them themselves. B) The game is limited by compatiblity issues, such as those that Heed discussed.
I do think that Badspot should make Blockland function well to say the least– there are things that still need to be fixed, or at least could be fixed. On one hand, Blockland is a decade-old project and Badspot wants to move on, or another because he could be torn between the age-old question of who this game is really for– the community or himself.