I think this is the tutorial I followed years ago: https://medium.com/@raymondgh/how-to-set-up-a-free-custom-do...
I've always used a this setup, have my personal domain forward all mail to google, and I have my address with domain set up in gmail. Also, I think that's no longer an option - I realised a while ago, I couldn't add any more...
This wasn't "blocking". IIUC the problem is that these accounts have tigher data use restrictions so a lot of Google services never bothered to support them.
For example I believe that one restriction is that data can't be used to train ML models for other users. So if a service created one big ML model it needed to exclude these accounts. Instead of doing that and an audit they often just blocked those users.
I now feel that this was a favor in disguise: Google spent so many years blocking Domains accounts from new services that I never developed habits around using them. Switching away is just migrating email since they made it hard to develop any other source of inertia.