Biological diversity, is essential for the processes that support life on Earth, including humans. It's important for ecological and economic reasons, and can provide many benefits, including:

Food security: Ecosystems provide food through plants, animals, and photosynthetic organisms. Have you heard of crop rotation?

Medicine: Many medications are made from compounds found in diverse living organisms.

I wouldn’t necessarily say that, diversification could be considered the pragmatic thing to do. Even if you fully understand bitcoin, it would be foolish not to at least look at other alternatives as well, like ethereum.

Diversification should only happen within the layers of Btc