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I think this is a cool idea, too. For a response:

  • Not all games are 3d, and it might be difficult to have some creators make 3d assets for their game

Assuming you were ever going to have small icons for games when navigating through a user's library, you could fall back on that as a default. Maybe you could just apply that texture to a plane for games that don't have such a model defined.

  • Performance issues, if you have a lot of games visible at once and someone is on a slow laptop or phone then it might make browsing difficult

You probably could get away with it alright if you restrict the number of models visible at any given time and the number of polygons visible in the 3D figure.