This wasn't just a small change, it was huge. However, Ryu's reaction wasn't greatly exaggerated. His vision was further, and though he saw the benefits of this matter, he also immediately saw the potential downsides.
What did it really mean to be separated from Faith? Would the talents of his Bloodlines still carry the same power? What about their deterrence toward and pressure upon other Bloodlines? What about their cultivation methods? Would the same methods still work or would he have to create all new ones? How much would he be able to decide about them from now on? And how much of this freedom was good freedom rather than being left with a bevy of too many choices?
One might think that this freedom was a good thing, but having too many choices was just as bad as having too little. There was a reason that the best method of cultivation was to fuse all of one's talents into a single powerful path, often that was what a Dao represented in the first place.