Yes, that's the entire scope of the web PKI, and with the exception of EV certificates it never was anything else.
> it's pretty clear that with ACME and DNS challenges we don't need a huge centralized system to do this much weaker thing
Agreed – what we are doing today is primarily a result of the historical evolution of the system.
"Why don't we just trust the DNS/domain registry system outright if we effectively defer most trust decisions to it anyway" is a valid question to ask, with some good counterpoints (one being that the PKI + CT make every single compromise globally visible, while DANE does not, at least not without further extensions).
My objection is purely on terminology: Neither the current web PKI nor any hypothetical DANE-based future would be TOFU. Both delegate trust to some more or less centralized entity.