That type I think blurs the line on what actually is piracy versus the guy handing out demo tapes on the corner. It’s a sort of a ‘I absolutely don’t want you to go download my stuff, particularly from this link or this link…’
Not at all. I don't mean artists distributing their own tapes; this was primarily fans copying the tape they bought, recording off the radio, or recording bootlegs of concerts. (see also) There was even the ad campaign driving home that making your own cassettes in such a manner is illegal and "killing the music industry," which is obviously didn't.
As for the rest of what you said, I think it's important to keep that not everyone obtains music the same way. Plenty of people use ripping software, modified client software, etc. to pirate via streaming services too. It's not just filling a niche, but a reliable source of mainstream music too (assuming you do it before they pull it down because of the licensing BS). And as a frequent Bandcamp patron, albums can still be expensive and most songs still cost $1 (though, without the shit DRM).