This theory/headcanon makes a lot of sense and I agree with it.

I also have my own about how FSM left a lot of things for Lloyd such as his sword (we see in the flashbacks that he fought with it and I also have a headcanon that he was the best swordsman in ninjago history, Lloyd is the second best after him because he inherited it from his grandfather) , notes about various beings and instructions about the golden power (according to me, the notes could have been hidden in the temple of light or what it was called, I don't remember and I don't feel like checking)

Ok, you've probably already noticed that I love Lloyd's interaction with his grandfather, which is why the ending of season 10 is my favorite, but one thing really makes me laugh, is that the FSM literally told Lloyd not to bow to him and about 5 minutes later he himself bows to Lloyd so I'm sure any confusion Lloyd had was caused by this and he was probably thinking to himself

Okay, I made this once on YouTube as a video, so what about that scene from season 10 where Lloyd meets FSM (because he dies in my opinion) and once an idea came to my mind what would happen if this had happened before, and I came up with something like this.

As we well know, Lloyd was homeless for some time, he was kicked out of school and no one could take him in and it is certain that a child who is still Lord Garmadon's son should not go around places alone, and the thing is that someone attacked Lloyd and beat him so badly that he broke his skull, which led to death, and of course, taking into account Lloyd's origins, he ended up in the land where FSM is. And now I am curious about the reaction of the FSM himself because he literally created their dimension, created their entire race and allowed them to live in his dimension and they killed his grandson, no matter how angry he would be for hurting his grandson, I feel like ninjago would cease to exist.

So I once came up with this idea, but I did it differently, because Lloyd was unattended, he hurt himself, for example, he fell from some place and died but, the fact that someone killed him seems more interesting to me.

More Headcanons about FSM family

As a child, Lloyd resembled his father, only he had a different hair color, but as he grew older, he began to look less and less like his father (seasons 2-7). In seasons 8-15 he started to look more like his grandfather when he was Lloyd's age until in season 16 he looked identical to FSM (When FSM was a teenager, of course) (apart from the eyes, FSM had one purple and the other gold)

In some flashbacks we see FSM wielding a sword, so I say that FSM is a master swordsman, and considering that Lloyd became the second master of spinjitzu (The Ultimate Spinjitzu Master) in total and was supposed to learn FSM's fighting style, which brings us to the fact that Lloyd is a master swordsman, because in the series we only see him using a sword (I don't remember him fighting with any other weapon), so the best sword master was FSM (no one can match him then or now) and right behind him in second place is Lloyd.

After season 10 and "Lloyd's death", Wu has nightmares that Lloyd didn't wake up, that they really lost him, every time he is terrified and goes to check if Lloyd is okay, Wu can't lose the last member of his family. One time when Wu went to check on Lloyd, he wasn't in the room and Wu almost had a panic attack, he searched around the monastery until he found Lloyd in the kitchen as soon as he saw him he ran to Lloyd and hugged him and didn't want to let go, while Lloyd was completely confused and a little scared, later they talked about it and from then on, Lloyd began to be more careful during missions so as not to give his uncle a heart attack.

Lloyd, due to his heritage and elemental powers, is strongly connected to ninjago, if something threatens the land he can feel it, when all dimensions merged Lloyd felt great pain due to the ninjago lands being torn apart. After the fusion, he realized that because of this event he had scars on his chest that looked like cracks.

Lloyd's golden power hurt him when he fought the Overlord, he didn't feel it because of the adrenaline, but later it turned out that the golden power was too powerful for Lloyd's body (mainly because of his human part) so after the fight he realized that it was on his hands (from his hands to his shoulders) scars appeared that looked like they had been struck by lightning, they were golden in color and when Lloyd used his power they began to glow. Lloyd, of course, didn't tell anyone and he just started traveling around ninjago to learn how to control it better and see if his body gets used to it. Lloyd still has those scars to this day and come on the golden power is gone the scars still glow when he uses his elemental power but this time in green.

After becoming the Golden Ninja, Lloyd received many powers and improvements, for example, his healing became faster, he had greater endurance and improved senses but one of the strangest changes was that the blood turned gold, yes Lloyd had golden blood.

Lloyd is literally the reincarnation of FSM, he has his powers, he can do what he does and he is a perfect hybrid (a combination of Oni, dragon and human) same as FSM (only FSM wasn't human but still a perfect hybrid).

17#

Due to his heritage and being the next incarnation of FSM, he has perfected Spinjitzu and uses it often in his fighting style (I don't know if it's just me, but Lloyd seems to use Spinjitzu more than the others)

Due to the power he has and his connection to Ninjago, Lloyd when angry can cause cracks in the ground or mini earth tremors, which are usually harmless but still need to be careful, that's why Lloyd has the best composure of all the ninjas (well, except Zen)