Aside having to redo the short name version of an updated plugin, I have not encountered any problems at all with this method. Mind you, I have not updated my Cubase 9.5.41 to version 10. When and if I do, I will be renaming them all again (I don’t have many plugins making this process quite easy and fast). If you do go ahead with this, make a backup of said file before you begin. 
Note: 1 bold instance is the plugin name as it will appear when used as an insert or send and the other is the name you see in the “Plugin Manager”. Yes, they can be different, which is kinda cool. And again, without any ill effect that I’ve noticed.
Good luck!