That change will do nothing. Sunsetting only matters for the more endgame players, and those endgame players will be able to easily upgrade those armour or weapons. Pointless post.
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Not necessarily. The new currency could be a token that pushes the gear cap, but it could be rare to find or expensive to buy. It's not just about NOT being able to use your current gear. It's also about getting players to use new gear in general. Players had no reason to because they could just level old gear. If old gear becomes difficult to level to the point that it starts hitting your inventory a little hefty then we'll be where we should be.