It isnt getting any easier to cash the miles in, but one still can. The main part is being flexible. but thats the same when buying a tkt, if you have a certain carrier in mind Only with a particular flight on a specific day, theres no way to be sure you will even be able to purchase a Full Fare tkt under those creatria. Its not a Scheme yet.
but why didnt anyone include the Hotels in it. You collect your points at a certain chain only to see that you now need more pts to get that same free night. Or you decide to go to XXXX for a vacation you've been waiting yrs to save up you got the plane tkt, only to find out that the Chain doesnt have any room at the Inn left during the period youd like to be there. Or that your Dream Hotel has left the chain you've been saving up in for that Ultimate stay and now its gone. Even hotels via CCs and other partners are selling their points.

No Carrier or Hotel ever Promised that you would be able to use your Miles/Points whenever and whereever you wanted to. Now what each person needs to do is to work out if it pays to Fly or Stay with any particuliar brand. For some yes others no.
When it all started it was a different Age and Time. Now one needs to make sure he doesnt allow the addiction to blind his/her ability to see if in fact what they are doing is still worthwhile or not. But the Game (and it is that) is still playable with some Great prizes to be had for all.IMO