The 'problem' with a TB display is that the DP decoder and coupled DP handling subsystem could only hand one display stream. Since the device itself needs to consume one and only one comes out of the TB controller there isn't another decoded stream to pass to a second TB port (the one that wasn't the input downstream from the computer).
In a DP1.2 context there could be two display streams inside the TB monitor device. Since it only needs one the second couple possibly be fed back into the TB controller for output on the second port. It depends upon if Intel wanted to add that additional complexity into the controller and also whether impose that additional complexity onto the non-display TB devices that need to funnel DP1.1/1.2 to devices on their 'other'/2nd port.
- Mini DisplayPort monitor will continue to be able to be connected to the end of a Thunderbolt 2 chain where the last device is not a monitor (or some other device that uses a DisplayPort signal like some docks)
As pointed out initially above, the "last" device can be the first device; chain length zero is still the end.
- A 60Hz 4K display (and hopefully also an MST chain of smaller DisplayPort displays) will be able to be connected anywhere that Thunderbolt 1 would allow a DisplayPort monitor.
That is even less limiting of TB chain bandwidth if just direct connect to the computer sytsem's TB ports.
However, a 60Hz 4K display probably would choke off any other displays on a TBv2 chain. It will be a similar effect as no display output of a TB display device, only it would also impact everything else down the chain.