Sims 4's Increased Gender Diversity

Recently, Sims 4 received an update that allows players more options to customize their Sims' gender identities and personal expression. The update includes new choices where the player can decide 1) whether their character's frame is masculine or feminine, 2) whether the character prefers clothes deemed masculine or feminine, 3) whether the character can become pregnant, and 4) whether the character can use the toilet standing up.

What impact will being more inclusive to gender identities beyond strict binary norms have for players, especially for players who are not cisgender? Are there any games that provide similar options or ways of pushing gender boundaries? Would it be beneficial for more games to adopt similar means of customization? Are there ways the Sims could go even further to explore gender identity?