Yeah, the chart would mirror the capo setting.
My vision for this feature (which has been on my big list for awhile now) was not to have the chord diagrams inline with the chart, but to have them as an overlay as needed. (iReal Pro does this.)
The Ultimate Guitar approach of listing a reference of all the chords on the page seems like a good idea too. I’d probably put them on the bottom of the page, though.
Regardless, this would be an opt-in setting, so nothing would change for folks who don’t choose to enable it.
This feature isn’t a high priority for me, although I inadvertently made a lot of progress toward implementing it as a result of working on the voicings settings panel, and the chord diagrams therein, so it’s a lot closer to being a reality than it was a few months ago. 