Nothing wrong with proxying cards. All an upgrade card is is additional rules text that can be added to a ship for points.
Also nothing wrong with not wanting to proxy cards. Some people don't like the look of printouts, paper cards or outright memorising upgrades so if they choose to restrict themselves to the cards they have blister copies of then that's their choice. Can't force someone to proxy.
Dictating that other people shouldn't proxy is what I have an issue with. Usually the people who try to ban others from using proxies are the people who bought ships for cards alone and feel the need to make that purchase feel worth it.