I'm a fan of the alternative ideas, however for me personally I am on the fence on the idea. I feel there may be more creative solutions to gem acquisition - IF, big if - it's needed at all. Few things to note: gems are by design to be rather difficult to obtain. The lower tier items have been added to expand and make the early to mid-game more expansive, as well as end game. Early game, it doesn't hurt to risk your Dragon chain or legs to try to hit that upgrade, as they are easily obtained no matter which state of the game you are in. However for the end-game, you're capable to grind these items and able to likely occasionally risk some mid-tier, to high tier items in return for some gems to get the upgrades where they matter the most for you.
I agree with this, and would also like to make a point for others to note: my initial plans for this system included no gems whatsoever - you risked the item and either got what you wanted, or you didn't. We added the gems as a fail-safe, to cap your loses & possibly get rid of items you no longer use, in order to upgrade the items you want the most.
It's aimed at new players, correct & end-game players to get rid of junk and allow you a way & method to obtain your guaranteed upgrade. I see no issue personally to this because: before the upgrade chest, dragon legs, boots & chains meant nothing to end-game players. Now guess what, players are picking them up, saving them, buying them. It re-purposed an entire class of items that are usually out-classed within just a few hours of playing (depending on game mode, etc). So the fact players are "stuck" with all this T2 stuff they don't want and only option is to alch them - is a win in my book and not an issue.
See above response
All in all, I like the ideas in theory, but in practice could make T2 items a more-than-intended item in attainability & commonality. I think the grind for T2 items, and the leftover T2 "scraps" for end game players such as T2 dragon legs, boots, chains, etc - isn't an issue, but a feature and necessity in grinding the items you want upgraded. Sure, these items are rendered useless when they upgrade when you don't want them too - but the bright side is, maxed, comped & the rest are actually utilizing these items to begin with, making them more useful in every stage of the game, when previously they weren't used whatsoever. To reference the beginning of my post - I think if making these "scraps" more useful becomes more needed, there has to be a more creative solution. I'm not sure more easily-obtained gems is the right solution, but maybe more alternative ways to obtain them to begin with could be a good start in the right direction? Just my thoughts on the idea.