What we were discussing that you quoted, which was whether or not a weaker player has an increased chance of beating a stronger player with alternate breaks vs winner breaks formats (they don't), has zero to do with FargoRate so totally forget about Fargo for a moment.
My post explained why alternate breaks doesn't increase your odds of beating a better player, and the basketball example helps to comprehend the concept. Here is another way of explaining the same thing though. There is a certain disparity/spread difference between the amount of points per inning you and your opponent score under the winner breaks format. For example you may average .3 points per inning and he may average .6 points per inning under winner breaks. But there is a different (lower) spread/disparity difference between the amount of points per inning you score on average vs your opponent under the alternate breaks format though. For example, under alternate breaks you may only average .15 points per inning and he averages .3 points per inning (that fact that you don't automatically maintain possession of the table after a point is scored lowers it for both of you). The lower points per inning disparity spreads between you and your opponent under alternate breaks results in smaller disparities/lower spreads in the final score, and bigger point spreads between you and opponent's points per inning averages under winner breaks format results in bigger spreads in the final scores, so it is not unlike how making baskets worth more or less points in basketball will change how many points of separation there are in the final score (but does not change who wins and how often).
Where people tend to really go wrong is that they forget that what applies to them with the format change is also applying to their opponent as well. So yes, you may be scoring more or less points per inning based on whether it is winner or alternate break format, but so is your opponent, and because the increase or decrease is proportional for you both (it isn't necessarily linear but it is still proportional), it never changes your odds for winning, it only changes how tight the final score line is, just like making the baskets worth only half as many points doesn't change which basketball team wins and how often, it only changes how tight the final score for the match will look.
That said, a logical question for somebody to now ask would be "well since FargoRate doesn't just use who won the match in their formula, but also uses the point spread that a match was won by as part of their rating consideration, doesn't the fact that matches of both winner and alternate break type formats being used by FargoRate skew their ratings?"
And the answer to that is yes, no, and not really. Technically it would, but not actually all that much/as much as you might guess. But then you have the fact that it all gets averaged together (winner and alternate break results) for each person, so it gets more or less negated. Then you have the fact that the Fargo global optimization process, the same one that ensures that a 604 player in Kalmazoo is the same speed as a 604 player in Boise, also helps to negate any differences by adjusting everyone against everyone else. Then you have the fact that additional data is better, and on net you come out with more accuracy by having twice as much data by including both alternate and winner break formats than you would be only including one. The bottom line is that it all kind of comes out in the wash and evens out and having both ends up being far more of a benefit than any detriment. Mike Page will likely come along to explain that aspect in a more detail although it may already be addressed in a video on the FargoRate web page or his youtube channel. For that matter it is a very similar answer/discussion as the 7ft vs 9ft table discussion as it pertains to FargoRate, so you can always just view that video and just replace the tables with the break formats in your mind as you watch to get much of the answer for why having both alternate and winner breaks formats is a benefit and not a negative.