Let's imagine the referendum can't happen. Then an unknown % of people have to hold the passport they don't want to hold. How is that better?

Besides, who says that anyone is going to lose their citizenship? Wouldn't that be something to negotiate over? Can't you hold the Spanish citizenship AND another one if you are from LATAM? It's just a matter of political willingness.

But I guess it is better to introduce artificial barriers for this to happen if you happen to be in the situation that you want.