That's why I think the compromise I suggested is a good one. Not perfect (team sports are still an issue), but good.
Despite what the lunatics in the comments here insist, I have no interest in any policy that excludes trans people from sport. I don't want them to be prevented from competing with the gender they identify as. I just don't think its fair for females to be measured against people with a whole host of advantages in order to achieve those goals.
Your claim that trans women are at a disadvantage because of their larger frames only makes sense in comparison to men. The combined advantages of a larger heart and lungs, skeletal structures more conducive to generating powerful movements, and greater density of fast twitch muscle fibres easily outweighs the extra mass of skeleton they need to carry around. Especially because male strength advantages aren't completely negated by hormones, only reduced.
I don't have an "overwhelming" ("overwhelming" being an unhelpfully subjective standard which I'm not sure why you're claiming is what "we" don't allow) advantage over many female athletes insofar as many of them would beat me in their events. But I'm not permitted to compete against them because my male body gives me a head start that they don't have. It is unfair to whatever number of female athletes I beat.