You awoke negative-nostalgia to membrane keyboards where I remember I couldn't hold Shift + W + A at the same time in Minecraft as a kid so you're definitely right about bad keyboards, but I remember dead keys on WASD as well. I wasn't there, but the largest consensus seems to be that Quake popularized it, plain and simple. I'm sure other factors like what you mention helped it become the dominant layout as well

edit: figured out why that nostalgia happened. I was revisiting an old flash game I liked [0] and people were complaining to the dev about this exact key ghosting issue to him when it wasn't his fault but a fault of their keyboards, and in the Newgrounds description he links to a forum post [1] elaborating on the issue

[0] https://www.newgrounds.com/portal/view/547881

[1] https://board.flashkit.com/board/showthread.php?789015-wont-...