A re-install to fix the current issue should preserve the Library, settings, etc.
I can't see another way for them to get our Clients to see the new update. Unless there is an initial check happening during launch that can be sent a message that will bypass the issue.
I went to my Oculus folder last night (before I knew this whole thing was happening) and ran my OculusSetup.exe and clicked "Repair" I believe it re-downloaded the setup files and re-installed everything and left the library in tact. would this be similar to what you are suggesting?
I am dealing with millennial snowflakes every day in my work too - and since most likely oculus devs recruit them self's from that part of society I can assure you, nobody will be held responsible nor anyone will see a problem here: "well we all do mistakes". When you see drunk school bus driver - "we all do mistakes" - when a surgery cuts out brain instead of kidney - "we all do mistakes".
Yes we are dealing here with the same level of completely unacceptable level of mistake. I am a developer too myself and I understand the complexity of modern software, but there is a red line which nobody should cross.
Now, can anybody point a place where oculus is doing an official statement on this?
And to all those saying "you can live without VR for a day" - yes, of course you can! But this is not where the problem is.