python3-zstd isn’t required, but without it you’ll be limited to using either zlib (gzip) or bzip2 compression which are generally much slower than zstandard. Also during a system recovery process using Wyng, its a good idea to keep it on your list of things to install in case the archive you have to restore from is compressed with zstandard (aka zstd).
My PGP key fingerprint is BEE2 20C5 356E 764A 73EB 4AB3 1DC4 D106 F07F 1886