Why did you make the delay even smaller? This means saving lots of unnecessary undo steps. Not only it can cause bugs, but also will make it more difficult for user to undo.
Sure it works great on your PC, but on an older machine with a slow HDD saving a big project may take much longer time.
Regarding the number of steps - it depends on the average size of each save. Add some objects, open browser console, it should tell you the amount of data saved, in bytes. Multiply by the number of steps - that's how much memory the array will take.
I doubt you will run out of memory even with 256 undo steps, but a very big array may be slow.