Layout co-ordinates don't change as you zoom in. So this would mean as you zoom in to text it becomes blurry or pixellated, instead of increasing detail. It would look the same as putting some text in a Sprite object and zooming in very far.
Yes, I probably expect more that this happens than the memory exponentially increasing due to zoom.
I could perhaps add that as an optional mode for the Text object? Something like a 'Upscaling quality' property which can be 'Low' (no detail increase, goes blurry as you zoom in, but uses less memory) or 'High' (as it works now, increases detail but can use lots of memory).
It's an option. However I would prefer if the texture was always based on layout coordinates and there was an additional parameter to set the texture's max level of detail. An integer like 2x, 3x... the size of the object in layout coordinates, with the texture size capped at 2048 or 4096 px to avoid crashing. This would mean that the text could be zoomed 2x, 3x... without looking blurry.
The Tiled background also misses something like this, but more like a texture scale parameter similar to how the sprite font has. If you are designing a game with double size textures (to look crisp when the game is scaled to bigger screens), sprites looks crisp while tiled-backgrounds looks blurry. Currently only sprites allows double size textures while tiled backgrounds textures are limited to always be 1:1 to layout coordinates.