>But then you have to provision space in memory for the whole image size
No, you can have your container system load parts of the image on demand into that tmpfs.
That's my point: this doesn't have anything to do with writing to memory, writing to block device, etc. etc. This is just a matter of indexing the image so that it can be lazily loaded. Which is of course good, but let's be clear that it's orthogonal from whether you stick the images on local disk, stick them only in memory, or whatever.