When Knowles says, "It's not a legitimate category of being," he isn't saying that transgender people aren't legitimate as people; he's saying the state of being transgender is not real. And when he says, "They're laboring under a delusion," I think he's referring to the meme, "Trans women are women."
This approach enables him to justify "eradication" of what he calls "transgenderism," because, if something isn't real, then, it could be argued, society may be justified in stamping it out, inasmuch as toleration of unreality on parade could contribute to the decay and degeneracy of society. And, in case it isn't clear by now, people like Knowles consider us the poster children for the decay and degeneracy of society.
Knowles & Co. don't think they want to kill us. They think they simply want us to get "therapy" instead of getting medical care and walking around in public in women's clothing. This is why he says that accusations of "genocide" are libelous.
Here's the problem. Whether he intends it or not, if his initiatives are realized, they will kill trans people. And those they do not kill, they will make suffer -- a lot.
The war between Knowles & Co. and trans people is like the abortion controversy in one important respect: both are based on allegations that cannot be proven or disproven. In the abortion controversy, one side says that the fetus is a person from conception, while the other side says it is not. It's a metaphysical quarrel. Each position is a statement of belief; who is a "person" is not scientifically determinable.
In our case, it's the "What is a woman?" question. We can't prove we're women, and they can't prove we're not. It's likewise a metaphysical quarrel.
This war will finally be resolved when it hits the courts. If we dispense with the metaphysical questions, we are left with the hard facts of gender dysphoria. Knowles will have a very difficult time proving that gender dysphoria does not exist, and from his statements I don't think he plans to try. So, given (a) gender dysphoria, (b) the fact that it causes suffering and frequently leads its victims to attempt self-harm, (c) the fact that, for the vast majority of its victims, there is no cure, and (d) transitioning is the only therapeutic approach that has any consistency in alleviating the suffering and allowing victims to lead happier lives, Knowles' crusade to eliminate medical treatment and social transitioning, while having no realistic therapeutic alternative, is barbaric, cruel and homicidal. It is also, by the way, evil.
And it won't survive Constitutional muster. Taking away the only effective therapy from people who are suffering like this because he doesn't approve of what we may or may not believe about ourselves violates both substantive due process and equal protection. It's only a question of how much suffering and death he will cause while the issue is working its way through the legal system.