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Good question: the battery here doesn't look like it had any room for expansion so it wouldn't be worse per se. But normally you want a little bit of room around a battery, I guess a thin foam liner would allow for that and would still allow you to pot the whole thing.
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Worst case, a bloating battery cracking open a plastic enclosure or being able to vent gas through the gaps in one would be preferable too, right?
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Absolutely and it is why I hate these little pouch cells in wearables. Phones, headphones, in-ear pods, sports gear, toys (which kids take to bed), they're absolutely everywhere and if you look at the way they are usually mounted it is a small miracle there aren't more issues. Powerbanks in particular are a pretty serious hazard.
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