PS5 Disc version for sure, as I have a lot of disc PS4 games, blu ray's I'd like to see up-converted on a 4K player on my 4K TV, and for UHD movie discs I might buy once in a long while (preferring blu ray's price). I bet the disc version will be $50 or more. It's worth it for me. 100%.
That said, I have quite a few PSVR digital only games. That is great for digital because the games are smaller in file size, and perfect for quickly and seamlessly starting the next PSVR game without having to remove the virtual reality experience with the headset on.
An option is a nice thing, and concretes discs for awhile longer, than if Sony only offered a digital only version. But I see your point, where they could've offered just a disc version as with the PS4.
I believe digital storage is a nice option for those who enjoy it, being able to quickly start a game without having to sort through a stack of disc games.
I'll still buy disc games for large file titles and AAA games, but I can see the future being digital only in about 10+ years or so. I'd like them side by side for much longer though, but stores are drying up their inventories it seems, like Best Buy for example, which used to be one of the biggest resources for walk in stores carrying movies on disc.
Don't you still have to install games in their entirety on the hard drive, even when it's on disk?