I always thought this was a stupid restriction. You can't view the post while authenticated but you can view the post while unauthenticated.
It provides friction for further misbehaving. Imagine you blocked someone who has serious issues with people who #foobar. It's better for you if they can't easily find you and repost your content to their community who also hate #foobar. It's not perfect, but the friction helps prevent drive-by bad behaviour.
Either your posts are public or they're not. There's a pretty clear distinction between the two, and anyone who thinks otherwise is sorely mistaken. The risk of people re-posting your content is a natural consequence of your aspirations to be popular on social media, and we shouldn't be giving people a false sense of security.