It's better for musea and institutions to handle game preservation. We're not relying on people to preserve movies and tv shows...
For yourself, physical is better as a couple scratched / broken disks are better than losing access to big parts of your digital library. (digital stores disappearing, lost login credentials, hdd failure) Redownloading won't work when games get pulled which is rare but can happen with disputes and licensing issues. (Or you forgot what you had / where you bought it from, my problem lol)
Anyway some games never get a physical release, no choice there.







