Wow, that was fast 🚀👌🏿

Did you check other places where dropdown-shadow is used?

edit - Just asking because it might be possible to replace the %dropdown-shadow with %popup-shadow everywhere (there are not so many usages)

Usually the blur approach need to be decided on case-to-case basis, since both methods have their quirks.

Backdrop filter not always works correctly when two elements with z-index are stacked one over another, while inset background on pseudo-element does not stretch with scrollable parent. There are few more quirks, but I do not remember them out of top of my head.

So for now I would probably leave the styles as-is, and address the issues one-by one. Maybe in the future we can simplify that with more unified set of UI primitive components. Ofc if you see any similar issues, please let us know! 🙂