Earlier quoted context omitted.
Checks out, most boards are made with very conservative amounts of decoupling capacitance because it’s way easier than dealing with random failures due to not enough capacitance
I've understood that capacitors can be used for timing, or smoothing a voltage after a power regulator (I think). How/what does adding capacitance help with?
It helps to always think of current draw in a compete loop, out the "top" of the capacitor, through your IC, and back into the ground side (this isn't necessarily what's happening physically). Shorter loop means less inductance, shorter traces less resistance.